This is known as the LTV to CAC ratio. This ratio answers, “Are we making a profit and attracting the right customers?” Let me walk you through the differences between CAC and LTV, how to calculate the LTV:CAC ratio, and how to get the most from this metric for your business. Tabl...
What is a good CAC ratio? It is said that an ideal LTV to CAC ratio is 3:1. What is the formula for customer acquisition cost? It is:the amount you spend on sales and marketing / the number of new customers acquired = the customer acquisition cost....
LTV is a crucial metric to determine your app’s profitability. Discover how to measure, analyze, and improve LTV with industry benchmarks and actionable strategies.