Examples of CPA networks operating on the CPS model

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Customer Lifetime Value (CLV) is a metric that estimates the expected profit a company will receive from a given customer over the entire period of their interaction with the company. This indicator allows you to assess greece email list how valuable customers are to the company and how much resources the company can devote to attracting and retaining customers.

Here are a few points to consider when understanding CLV:

Customer Relationship Length. CLV takes into account the length of time a customer interacts with a company. The longer a customer stays with a company and makes purchases, the higher their CLV.
Customer Value. CLV takes into account not only the number of purchases a customer makes, but also the amount of profit (revenue) they bring to the company, which includes not only the initial purchase but any subsequent purchases and additional services.
Customer Acquisition and Retention Costs: To calculate CLV, you also need to consider customer acquisition and retention costs. Including these costs allows you to more accurately assess the effectiveness of your marketing and advertising efforts.
Forecasting Future Revenue: CLV also involves forecasting future revenue from a customer based on their previous behavior and purchasing habits.