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What is LTV and how can a restaurant improve it?

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發表於 2024-5-14 01:41:01 | 只看該作者 回帖獎勵 |正序瀏覽 |閱讀模式
Let's figure out what the LTV indicator is and why your restaurant needs to consider it. Use the tips we've written in this article and increase your business performance.

What is LTV and how can a restaurant improve it?
There is an important indicator in business - LTV (English Life-Time Value, lifetime value; sometimes the abbreviation CLTV is used - Customer Life-Time Value, customer lifetime value) - this is the profit that can be received from a client during his Kazakhstan Phone Number List with the business. It is important to work with and improve this indicator, especially in the restaurant industry.

The more regular customers you have

The more steadily the income in the establishment grows. As customer acquisition costs continue to rise, a loyal customer base is becoming increasingly valuable to restaurant owners.

In this article, we'll define customer lifetime value, give tips for increasing LTV, and help you understand why this metric is so important to successfully running a restaurant.

How to Benefit from Increasing Customer Lifetime Value

Customer lifetime value is how much time and money a customer is expected to spend on your business. In simple terms, this is the expected amount that one client will spend over the entire period of your cooperation with him.

Using this metric, you can ensure that the cost of attracting and retaining a client does not exceed the income from it. By measuring LTV, you can assess the profitability of your business, as well as make a long-term forecast and estimate how much you need to spend on retaining existing customers. Customers with high lifetime value tend to spend more per purchase, more frequently, and remain loyal for many years.
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