| A | B | C | D | E | F | G | H | I | J | K | L | M | N | |
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1 | INSTRUCTIONS: To use this calculator you will need to login to a Google account. Then follow the two simple steps at right... | Step 1: "Make a copy..." under File menu and rename file Step 2: Complete the three white fields below. THAT'S IT! | ||||||||||||
2 | a. Average sale price | $2,500 | ||||||||||||
3 | b. What is the average number of times a customer makes a purchase? | 1.5 | ||||||||||||
4 | c. What percentage of your customers provide you with a referral? | 25 | ||||||||||||
5 | (a | x | b) | + | (a | x | b | x | c) | = | Average Customer Lifetime Value | |||
6 | $2,500 | x | 1.5 | + | $2,500 | x | 1.5 | x | 2500% | = | $97,500 | |||
7 | Average Customer Lifetime Value | x | 10% | = | Customer Acquisition Budget | |||||||||
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9 | Rule of thumb: you can spend around 10% of your CLV on acquiring a new customer. | $9,750 | ||||||||||||
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