Vantage Point
Home/Glossary/Customer Lifetime Value (CLV)
General CRM

Customer Lifetime Value (CLV)

A prediction of the net profit attributed to the entire future relationship with a customer.

Complete Definition

Customer Lifetime Value (CLV) is a metric that estimates the total revenue a business can expect from a customer throughout their entire relationship. It helps businesses determine how much to invest in acquiring and retaining customers, identify high-value customer segments, and make strategic decisions about resource allocation.

Key Points

  • 1Predicts total customer value
  • 2Guides customer acquisition costs
  • 3Identifies high-value segments
  • 4Informs retention strategies

Need Expert Guidance?

Our team has 20+ years of experience with Salesforce and financial services CRM implementations.

Schedule a Consultation

Browse All Terms

View Complete Glossary