Cycle glossary

Product terminology simply explained

Lifetime Value

Lifetime Value (LTV) is a vital metric in product management that measures the total value a customer generates over their entire relationship with your company. It tells you how much revenue you can expect to earn from a customer during their "lifetime" as a customer.

Imagine you own a donut shop. Lifetime Value is like figuring out how much money you can expect to make from a customer who keeps coming back for donuts every week for years. It helps you understand the long-term financial impact of each customer and guides your decision-making in areas like customer acquisition, retention strategies, and pricing.

Subscribe for updates

Join tens of thousands of subscribers
Product insights, customer stories, and release notes straight to your inbox.
Thank you! Your subscription has been received!
Oops! Something went wrong while submitting the form.
No spam, ever.