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KPI Compass

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MetricOrganizationApprovedInternal

Lifetime Value

Also known as LTV, CLV

Expected gross margin from a customer over their lifetime.

71
Quality score

Unit

USD / customer

Aggregation

Modeled

Time grain

Quarterly

Business meaning

Ceiling for how much we can afford to spend acquiring a customer.

Formula

(ARPA × gross_margin%) / churn_rate

Scope

Inclusions

  • Gross margin
  • Expansion

Exclusions

  • Acquisition cost

Sources

No sources recorded yet.