What is customer lifetime value?
Customer lifetime value is the total revenue a business expects from one customer over the whole relationship. For repeat-visit venues it is average spend, multiplied by visit frequency, multiplied by how long the customer stays.
An example
A café regular spending $12 twice a week is worth $1,248 a year. If they stay three years, lifetime value is $3,744, which is what is actually at risk when they drift.
Related terms
JustTap does this for Australian venues
We build and run your birthday, win-back, expiring-reward and quiet-day campaigns, delivered through a loyalty card that sits in your customer’s Apple Wallet or Google Wallet.