by Paul Simister
on May 20, 2013
In this article we are going to look at possibly the most important concept and key performance indicator in any business, the customer lifetime value (CLV).
You will see the concept also referred to as:
- The lifetime value of a customer (LVC)
- The marginal net worth of a customer (MNW)
The Definitions Of Customer Lifetime Value
It is a KPI that explains how much a customer on average is worth to a business of its entire relationship.
You will see some people refer to it in terms of sales revenue.
This is wrong and misleading. It can cause you to make the wrong decisions about attracting and retaining customers. [continue reading…]
by Paul Simister
on May 3, 2013
There are only three ways to grow any business.
Using one method will help your business grow steadily but using all three methods will cause your business to grow exponentially.
This makes it much easier to achieve 100% plus sales growth in a short space of time, often with an even bigger increase in bottom line profit.
Where Did The Three Ways To Grow A Business Model Come From?
A lot of people mention the three ways to grow model or have created derivations from it (e.g. splitting customers into lead generation and lead conversion) but the first person I’m aware of to teach it was American marketing superstar Jay Abraham. [continue reading…]
