In business terms, the lifetime value or (LTV) is the monetary value or worth that you can gain from a customer with respect to their relation with your company.
The Lifetime Value is a very strong human resource and financing indicator. Although, it heavily relies on estimation, but it provides with a clear picture of the number of customers that you can achieve in the years to come, and how beneficial it is for you to gain a clientele. In addition, it provides a cost benefit analysis (CBA) of whether should you gain customers, and the costs of gaining a customer.Back to Glossary
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