CAC

CRM Analytics: Measuring Customer Value CRM analytics helps teams move beyond raw sales numbers. By measuring how much value each customer brings over time, you can allocate marketing budgets, improve retention, and design better offers. The goal is to quantify not just the first sale, but the entire relationship. Customer value is a forward-looking idea. The most common metric is customer lifetime value, or LTV. It estimates the total gross profit from a customer over a chosen horizon. For many teams, LTV is calculated as average order value times purchase frequency times gross margin, adjusted for retention. This simple view keeps plans practical but can be refined with cohort patterns and discounts. With reliable data, you can compare value across channels and products and spot where profits come from. ...