The cost to acquire a customer is a popular metric used by companies to determine the economic value of a customer. The logic is simple: the lifetime value of a customer (LTV) should exceed the cost to acquire that customer. You need both formulas to understand the results. This post will show you two simple formulas you can use now to determine CAC and LTV.
Bad board members end companies when they ask it to do something it cannot do. See what types of board members serve and what you can do to better manage your board.
I arrived Lou Malnati’s in Chicago expecting great pizza and got schooled in an excellent business model. In all my dining experiences they did one thing I’ve never seen before… something I calculate may have added an extra $1 million in revenue per store.
Great accounting systems build great companies. How do they do it? Reporting. Reporting enables crisper decision making and improves accountability. Decisions and accountability impact the only metric that matters to every emerging enterprise: its ability to generate ever-larger amounts of cash.
Tariffs of 25 percent on approximately $34 billion of Chinese products will soon go into effect. While this is a fraction of the total amount of trade between the two countries, its impact could be measurable to many US-based emerging companies, even if the tariff does not apply to the products they sell. Here’s how it could impact your business.
Every purchase decision ultimately comes down to price. Optimizing your price point will profoundly impact your ability to generate cash. Are you 100% certain your company is charging the right price for its products or services?