41) which metric is based on the relationship between the revenue produced by a specific customer, the expenses incurred in acquiring and servicing that customer, and the expected life of the relationship between the customer and the company? a) churn rate b) customer lifetime value c) cost per lead d) cost per sale e) customer average value

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25-10-2022
Business

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41) which metric is based on the relationship between the revenue produced by a specific customer, the expenses incurred in acquiring and servicing that customer, and the expected life of the relationship between the customer and the company? a) churn rate b) customer lifetime value c) cost per lead d) cost per sale e) customer average value

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sapanpandit sapanpandit · Answer 1 · 2022-11-05T08:49:42-04:00

B. Customer lifetime value (CLTV) is the metric based on the relationship between the customer and the company.

Customer lifetime value (CLV) is a commercial indicator that assesses the average customer's potential earnings over the term of the relationship. Calculations of client lifetime value can be complicated by variations in items, prices, purchase frequency, and volume.

Because it is directly connected to income instead of an essentially intangible promise of loyalty and contentment, CLV differs from the Net Promoter Score (NPS), which evaluates customer loyalty, and CSAT, which measures customer pleasure.

Learn more about lifetime value here:

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