Lifetime Value Equation, or LTVE, is a metric used to measure the value of customer relationships over time. It enables businesses to understand the long-term financial impact of their customer base, and to make informed decisions about investments in marketing, customer service and product development. LTVE captures both the one-time and recurring revenue associated with a customer’s lifetime journey, and allows companies to predict future revenue streams based on past behaviors. By understanding how much a customer is worth today, and how much they will be worth in the future, businesses can optimize their business strategies and maximize return on investment.