Do you know the lifetime value of one new customer to your business?
Some customers visit your business once and never return. Others visit your business and purchase a few of your products or services. Still others become loyal customers and shop your products and services loyally for years.
So, you can estimate the percentage of each type of customer in your business. Then, you can determine the lifetime value of one new customer to your business.
When you know the lifetime value of one new customer to your business, you have a reference for what amount you can invest to acquire one new customer
