Customer Lifetime Value (CLV) – an Essential Business Metric
When we are trying to optimize the experience for our customers, there are many metrics we can track and aim to improve. The Customer Lifetime Value (CLV) shows us how much money a customer will bring to the business on average over the entire time they remain a paying client. Whether we decide to refer […]
Customer Churn Analysis in Excel
Customer Churn is one of the most essential metrics for any company with a subscription-based model. It shows the rate at which customers are leaving and switching their subscriptions to someone else. It’s paramount to understand and analyze churn, as even a slight increase in the churn rate can have devastating effects on our business. […]
Understanding Customer Acquisition Cost (CAC)
One of the reasons businesses fail is a wrong estimate of how much it will cost to acquire customers. If the cost ends up too high and exceeds the monetization of the customers, the business cannot operate sustainably. It is essential to understand how much a customer will generate for the business, as knowing this […]