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What is Customer Lifetime Value and How to Calculate It

ChurnZero

Customer Lifetime Value (CLTV) , also known as, Lifetime Value (LTV), is the gross profit a customer delivers to your business in their lifetime. It is the amount of revenue your business will make from a customer over their average lifetime as a customer.

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Drive retention from customer support with 4 easy steps

Intercom, Inc.

With increasing business costs and reduced headcount, companies are feeling the squeeze as they also grapple with rising consumer expectations. That’s why companies should look to support – and retain – the customers they have. Shifting focus to customer retention can actually be twice as powerful as customer acquisition.

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Customer Success and finance: 8 metrics to build closer alignment

ChurnZero

Good sales teams typically get the budget, headcount and tools they desire because the function is tied to revenue. However, that’s not always the case for Customer Success (CS) teams even though they are often responsible for renewals and expansions. Are their features missing the customer wanted? Was it a competitive steal?

Finance 98
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1 Key SaaS Sales Metric to Fine-Tune Sales Productivity

InsightSquared

At the highest level, SaaS companies look at sales expense, headcount, sales productivity and SaaS metrics like: The cost of new customer acquisition (CAC). Customer lifetime value (CLV). Customer churn or retention rates. Typical SaaS Sales Metrics.

Scale 102
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Your Product Sells Itself. Now Hire Sales.

OpenView Labs

Sales now accounts for about 7% of the company’s headcount–a similar share of their workforce as marketing or product management. We call them enterprise advocates and it’s something that we began to grow about four years ago, with a focus on really complex large customers.”. The rest of their headcount only grew by 31%.

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Why a CRM is not sufficient for your Customer Success function?

CustomerSuccessBox

In the glorious business of the SaaS space, one underlying truth that determines the growth and scaling of the business is that it takes several months to recover the Customer Acquisition Cost (CAC) and get to the profitable zone at a unit economics level. Automating these processes provides a key advantage for increasing efficiency.

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Why a Low Customer Acquisition Cost (CAC) Isn’t Always a Good Benchmark

OPEXEngine

Customer Acquisition Cost (CAC) is a key SaaS metric that accounts for how much it costs your company to procure each new customer. What it tells you about your company will depend on your goals, your business model and needs, and your customer lifecycle. However, this metric calls for discerning judgment.