RATIO OF CUSTOMER LIFETIME VALUE TO CAC (LTV:CAC)
Estimate The Total Value Of Each Customer, Compared To What You Spend To Acquire That New Customer.
Start your calculations here
Customer Lifetime Value (CLV)
Revenue the customer pays in a period - gross margin + Estimated churn percentage for that customer
Customer Acquisition Cost (CAC)
Program and advertising spend + salaries + commissions and bonuses + overhead in a month, quarter or year