By Rohit Arora, General Manager, Liwa Content Driven
Online marketplaces and shared-economy platforms have been on the rise in all shapes and forms. In this scenario, CLV has become an important conversation. In simple words, it represents the total amount of money a customer is expected to spend in your business, or on your products, during their lifetime. For example:
A new to the city DINK (double income no kids) busy expat, middle-income, in a city averaging a stay of 5 years, might be worth the following to a food-delivery app that charges an average of 25 per cent commission:
$6.25 commission (25 per cent of average $25) per order
X 8 average orders a week for lunch &/or dinner
X
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