9 min read
LTV:CAC: how to calculate the LTV to CAC ratio by cohort, and why 3:1 is not a law
LTV:CAC compares customer lifetime value with customer acquisition cost. The LTV to CAC ratio formula, a cohort example, the 3:1 benchmark, five traps.
Articles for product managers and marketers about Lifetime value (LTV): plain explanations, examples and common mistakes.
9 min read
LTV:CAC compares customer lifetime value with customer acquisition cost. The LTV to CAC ratio formula, a cohort example, the 3:1 benchmark, five traps.