Bookings And Customers
Customer Lifetime Value (LTV)
LTV is calculated by taking your average revenue per account per year, multiplying it by gross margin, and dividing that by your churn rate.
Lifetime Value (LTV) by Month
This visualization shows Lifetime Value (LTV) by company from January to March.
Lifetime Value (LTV) by Quarter
This visualization shows Lifetime Value (LTV) in dollars by company over FY19.
Category
Bookings And Customers
Description
The customer lifetime value (LTV) metric shows the average amount of money you expect to receive from a customer over the life of their relationship with you.
It informs how much you can spend to acquire new customers, how long it will take you to break even, and if customer relationships are profitable in the long term. Ideally, your LTV should be at least three times better than your CAC.
A must have metric for investor reporting.