Customer Lifetime Value

Definitions

1. An estimate of the total revenue or gross profit a customer will generate over the full duration of the relationship. It is a core unit-economics metric when compared against acquisition cost.

   In plain English: The total value a customer is expected to generate over time.

   Example: "Customer lifetime value improved once expansion revenue became more predictable."

Related Terms

• Customer Health Score
• Dollar Retention
• Expansion Revenue
• Gross Retention
• Lifetime Revenue
• LTV
• CLV
• Net Retention
• NRR