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The Top 10 Marketing Mistakes
#4 Not Calculating Lifetime Customer Value
Lifetime Customer Value (LCV) is a calculation every business owner can and should do. If you’re thinking ... “Why should I bother doing that? I am not going to waste my time doing some stupid calculation.”
Just do it! Stop all of the nonsensical self-talk and just do this calculation—IT IS VERY IMPORTANT! Trust me. When you know your LCV you will know:
- The value every customer brings to your business
- The impact losing a customer will have on your business
- The amount of money you can afford to spend to get a new customer
- Once you Know your LCV, you can improve it
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