Remove Churn Rate Remove Metrics Remove Vertical
article thumbnail

The only 2 ways to build a $100 million business

Version One Ventures

Route One: High LTV per user The exact definition of a “high” user LTV depends on the specific vertical, so it’s typically better to analyze the ratio between Customer Acquisition Costs (CAC) and the Life Time Value of the customer. As a VC, the biggest challenge in evaluating LTV models is that metrics can dramatically change at scale.

article thumbnail

9 Case Studies That’ll Help You Reduce SaaS Churn

ConversionXL

In other words, growth slows, becomes stagnate or worse, churn is so bad, you’re losing more customers than you are gaining every month. That’s why you need to be simultaneously feeding your growth engine , while monitoring churn and your other startup metrics. churn rate meant the company’s growth was unsustainable.

Retention 106
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Visualizing the Interactions Between CAC, Churn and LTV

A Smart Bear: Startups and Marketing for Geeks

But it’s surprising to me how many companies with recurring/subscription revenue don’t understand the interactions between the elements that make up customer acquisition cost (CAC), churn and lifetime value (LTV). The black horizontal line represents time and the unlabeled vertical access represents relative profit.

article thumbnail

How Technology and Training Fueled One Ad-Based Company’s Growth

ReadWriteStart

Young and Yu realized quickly that a high churn rate plagues the digital marketing space. “A BlitzMetrics runs lots of tests, and it’s come up with benchmarks for good engagement, reach on guest posts, and other metrics. Reinventing the Wheel . We have to show actual versus perceived value,” Young says.

article thumbnail

Critical Key Performance Indicators (KPIs) for Founders

Up and Running

You need to use your time and resources productively by focusing on the right metrics so you can use data to help you implement improvements that matter. The first step is to formulate a KPI strategy by selecting the right metrics to track. The metrics should help you identify areas for improvement.

Founder 71
article thumbnail

VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

Lean Case provides standard business models & metrics, so you can apply a standard approach to business planning, modeling, and profitability tracking. The simplest way to track a company’s performance: have them give you access to their internal metrics dashboard. the Untouched Vertical. The VC Software Stack?—?the

article thumbnail

Deep Dive: Analytics and Security on a Real Ecommerce Platform

The Startup Magazine

When your digitally native vertical business selects its ecommerce platform, it’s essential to get the best analytics and security: data is what enables you to plan smartly, and security is what lets you proceed safely. Make sure your digitally native vertical business is smart and secure, by getting the right ecommerce platform.

eCommerce 126