How to Calculate LTV (And Why It’s Important)
FastSpring
SEPTEMBER 2, 2020
“It doesn’t take a genius to understand that business model failure comes when CAC (the cost to acquire customers) exceeds LTV (the ability to monetize those customers.)” By the time Q2 of 2012 hit, it had dropped by 2%. A customer spends $50 every month at their favorite online clothing store for 5 years.
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