Category: Uncategorized
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LTV/CAC Ratio
What Is It? The LTV/CAC ratio is a comparison between the Lifetime Value (LTV) of a customer and the Customer Acquisition Cost (CAC). It tells you how much value you’re getting back for every dollar spent on acquiring a new customer. The Formula 🧮 LTV/CAC Ratio = Lifetime Value (LTV) / Customer Acquisition Cost (CAC)…
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What is MAU: An Easy-to-Understand Gyde
Monthly Active Users: The Basics What is MAU?
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SaaS Bookings vs Billings vs Revenue: Everything You Should Know (Easy to Understand Guide)
What are Bookings in SaaS? Bookings in a SaaS (Software as a Service) biz is basically the total cash value of all the customer contracts we’ve signed up or orders we get in a certain period, no matter when we’ll actually see the revenue from those deals. SaaS Bookings example Imagine a SaaS company lands…
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Saas Business Model: Easy to Understand Guide
Getting to Know the SaaS Business Models What is a SaaS business model? The SaaS (Software as a Service) business is all about delivering software applications online instead of dealing with physical copies or local setups. Customers don’t buy a one-time software license; they subscribe to use the software regularly, usually with monthly or yearly…
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Churn Rate: Everything You Should Know
Key Takeaways What is the Churn? What is Customer Churn? The churn rate, or customer turnover rate, is a vital company metric. It shows how many customers are lost over time (monthly, annually, or less often weekly or daily (so-called the daily churn rate). This KPI is crucial for businesses, especially those with subscription-based models,…