Customer Lifetime Value

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For example, if you want to measure your retention rate for the previous quarter, follow these steps:

Start with the number of customers at the end of the period (E): If you are measuring retention by quarter, E is the number of customers at the end of the quarter.
Subtract the number of new customers acquired during the period (N): Remember, you don't want new customers throwing off your data, so subtract from E all the customers you acquired last year.
Divide the result by the number of customers at the beginning of the period (S): in this case, S will be the number of customers on the first day of the last quarter.
Multiply by 100: the result is a percentage.
CRR = (EN)/S)] x 100
n = attracting new customers
s = Total number of clients at the beginning of the period
e = Total number of customers at the end of the period
Key Metrics for Customer Retention
Retention of net revenue
Net revenue retention (NRR) measures the percentage of panama mobile database recurring revenue retained from existing customers over a given period, taking into account upgrades, downgrades, and cancellations. A high NRR ratio indicates strong customer loyalty, the ability of your sales team to sell more, and the value your product continues to deliver.

Customer Churn Rate
Customer churn rate is the percentage of customers who stop using your product or service over a period of time. High churn rates often indicate underlying issues that need to be addressed in both the long and short term.

Customer lifetime value (CLV) estimates the total revenue you can expect from a customer over the life of your relationship. Think of it as a direct reflection of your efforts to maintain long-term customer satisfaction and loyalty.

Net Promoter Index
Net Promoter Score (NPS) is a snapshot of your overall customer experience. Based on customer survey data, NPS rates how likely your customers are to recommend your product or service to others on a scale of one to ten. Customers are classified into one of three categories based on their rating.