How to calculate Lifetime Value of a customer: Starbucks case study – Infographic by KissMetrics
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Discusses how the cost of acquiring customers frequently is the cause of startup failure. For a viable business model, LTV must exceed cost of customer acquisition. (LTV= Lifetime Value of the customer.
i like it when complicated things are made simple. kind of a fun case study.makes me appreciate my over-priced cup of coffee just a little more.
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