The proportion of client acquisition cost to lifetime value (LTV) (CAC). Calculate the ratio of the two once you have the LTV and the CAC. If acquiring a customer costs $100,000 and the LTV is $437,500, your LTV:CAC ratio is 4.4:1.
The proportion of client acquisition cost to lifetime value (LTV) (CAC). Calculate the ratio of the two once you have the LTV and the CAC. If acquiring a customer costs $100,000 and the LTV is $437,500, your LTV:CAC ratio is 4.4:1.