Most businesses underestimate the value a customer or client brings to them over the lifetime of the relationship; worse yet. many ignore this important business metric.

Why is CLV so important to your business? Mainly because it will give you an idea of how much repeat revenue you can expect from a particular client. Armed with that knowledge, it will help you decide how much you’re willing to spend to “acquire” that customer for your business.

Once you know how frequently a customer buys and how much he or she spends, you will also better understand how to allocate your resources in terms of customer retention programs and other services you’ll need to keep your customers -- and keep them happy!

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