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Customer Lifetime Value

Amount that a customer is expected to spend on your company during their lifetime.

Customer Lifetime Value

What is Customer Lifetime Value?

This is an important KPI to have present in your dashboard because it will bring you some insight into whether you should be spending more or less in maintaining your current customers and/or attracting new ones. In order to make your business as profitable as possible, you would probably aim to maintain those with a higher value while cutting expenses on the ones where you are spending more than what you get from them.

Apart from the value itself, this KPI is also relevant for your business because it will give you a better understanding of your most profitable customers’ behavior with your company. For instance, you can know which are the most preferred products for them or the field they mostly come from. This will enable you to make more accurate decisions in regards to your customers’ CLV. Definitely a KPI you don’t want to miss.

Pre-built widgets to display Customer Lifetime Value

Customer Lifetime Value (Months/Value)

month

Customer Lifetime Value (Months/Value)

How to calculate Customer Lifetime Value?
(
    Sum(New Monthly MRR,MRR) /
    (
        Count(Churned Subscription) / 
        Count(New Monthly MRR)
    )
)
Supported integrations
Fenerum Fenerum

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