What is Customer Lifetime Value (CLV)?
It refers to the total value or revenue of a customer relationship over a lifetime. Customer Lifetime Value (CLV) is measurable by customer, segment, or in aggregate for a group of customers.
Business Benefits of CLV
- Lowers customer acquisition costs
- Keeps customer retention high
- Maintains good health of your business
- Aligns marketing programs with financial objectives and targets
- Enhances profitability over time
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