Customer Lifetime Value (LTV) is the most important metric for any business. It’s a measurement of the net profit a customer generates for the company over the length of their relationship. LTV takes into account factors such as customer acquisition cost, average customer lifetime value, customer loyalty, and customer retention. By understanding your customers’ lifetime value, you can identify which customers should be prioritized, how to allocate marketing spending more correctly and where to invest resources in order to maximize profits. Knowing your LTV helps you make better data-driven decisions that will benefit your bottom line. Put simply, LTV is essential to ensure your customer relationships are profitable and to ensure your business’s success.