Three benefits of BtoB digital marketing

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Please feel free to download and use them from the banner below. table of contents What are unit economics and how can you use them? How to calculate "LTV (Lifetime Value)" and what it's used for How is "CAC" calculated and what is its purpose? Three things you can do with unit economics (LTV/CAC ratio) Ideally, unit economics (LTV/CAC) should be 3. How to improve unit economics Calculate your unit economics to get a true picture of your business’s health What are unit economics and how can you use them? First, we will explain what "unit economics" are, how to calculate them, and how to use them.


What are Unit Economics? Unit economics is an indicator belgium telegram data that means "profitability per customer." It determines the profitability of a business by looking at the balance between the cost to acquire one customer (CAC/Customer Acquisition Cost) and the profit obtained from one acquired customer (LTV/Life Time Value) . (Details of each indicator will be provided later.) If you find it hard to understand because there are so many foreign words, just remember that it is an indicator that compares the cost of acquiring a customer with the amount of profit that is expected to be made in the future to determine whether it is worth it.


By the way, in web marketing, there are various other indicators besides unit economics. Please take a look at these as well. Also check out this article [Choose from here] 16 typical indicators set as KPIs in digital marketing How to Calculate Unit Economics The formula for calculating unit economics is: How to Calculate Unit Economics Unit Economics = LTV / CAC (Customer Acquisition Cost) For example, if your LTV is 1 million yen and your CAC is 500,000 yen, you would calculate it as follows: Example of Unit Economics Calculation LTV 1 million yen ÷ CAC 500,000 yen = unit economics is "2" Unit economics below 1 means that the cost of acquiring customers is greater than the profit they generate.