LTV to CAC ratio

R295

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In 35 minutes you will work out the LTV to CAC ratio on gross profit lifetime value. You will also read a ratio against the 3 : 1 floor and the over-investment signal above 5 : 1. And you will turn the dial: grow lifetime value or cut acquisition cost, and watch for drift.

SKU: PL-MCB-MKT-04
Category:

Description

Who it’s for: Anyone who has to answer for a marketing number and wants to answer one question properly: For every rand you spend winning a customer, how many come back?

What happens in it: Watch the idea unfold: the cost of a customer, what they bring in, what you keep, and the ratio that ties it together. In Your call you make the decisions in a real case: I want to double acquisition spend next quarter. Our revenue lifetime value is R30,000 and our CAC is R3,000, so I’ve shown Karen Mitchell, our CEO, an LTV:CAC ratio of 10:1 to argue that the numbers support scaling. Then, in the boardroom, you make the case to Karen, the cEO, in three questions.

How it works: five scenes in about 35 minutes: the data film, the lesson, Your call, practice with fresh numbers that mark themselves, and the boardroom. Finish all five for your certificate. It is course 5 of 5 in the Customer unit economics season of the Marketing series.

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