Customer math for a new business
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Customer math for a new business
The most important thing to figure out is the lifetime value of a customer. Here’s a simple example: What’s a new loyal customer worth to a supermarket?
Seth Godin • This is Marketing: You Can’t Be Seen Until You Learn To See
The most important thing to figure out is the lifetime value of a customer. Here’s a simple example: What’s a new loyal customer worth to a supermarket?
Seth Godin • This Is Marketing: You Can't Be Seen Until You Learn to See
" an honest assessment of customer acquisition cost looks at the length of your sales cycle, how many customers are truly new customers (as opposed to returning customers), and the total costs and resources required to support marketing efforts that lead to new customer acquisition. "
Andrew Chen • How To (Actually) Calculate CAC at andrewchen
For starters, how much can you earn from a newly acquired customer down the line, and how much can you afford to spend to acquire that customer?
Valentin Radu • The CLV Revolution: Transform Your Ecommerce with Customer Value Optimization
four key numbers from your business: Current Customers New Customers Per Month Monthly Churn Rate Monthly ARPA (Average Revenue Per Account)
Dan Martell • Software as a Science: Unlock Limitless Recurring Revenue Without Losing Control
it is six to seven times more expensive to acquire a new customer than it is to keep a current one.1 The probability of selling to a new prospect is 5 to 20%, while the probability of selling to an existing customer is 60 to 70%.2 On average, loyal customers are worth up to ten times as much as their first purchase.3