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Glossary / Strategy & Growth

What does LTV (LifeTime Value) mean?

The total revenue (or margin) a customer will generate throughout their relationship with your company.

Full definition

LTV (or CLV) is an estimated projection. It considers the average order value, purchase frequency, and customer retention duration (before they 'churn' or unsubscribe).

Why is it important?

It defines how much you can afford to spend to acquire a customer (the CAC). A high LTV (subscription products, strong repeat purchases) allows dominating competitors by being able to bid much higher in ad auctions.

The Jour de Chance approach

"Our media work doesn't stop at the first acquisition. We build Retention and Reactivation loops via CRM and smart Retargeting to maximize the organic LTV of the initially acquired cohorts."

Move from theory to practice

Let's conduct an audit of your metrics together to identify your true growth levers.