Time to Value (TTV)

What is Time to Value?

Time to Value (TTV) measures how long it takes for customers to get actual value from your product after purchasing it.

Why TTV Matters

A short TTV is crucial for customer satisfaction and retention. When customers see value quickly, they’re more likely to stick around and less likely to experience buyer’s remorse.

In the SaaS world, this often means the difference between a customer who cancels during the trial period and one who becomes a long-term subscriber.

Types of Time to Value

Immediate TTV

Some products provide instant value. Think of a weather app – you download it and immediately see today’s forecast. This is ideal but not always possible for complex products.

Short TTV

Value arrives within minutes or hours. For example, a video editing app where users can create their first video in under an hour.

Medium TTV

Value takes days or weeks to realize. Common in business software that requires setup and training.

Long TTV

Value takes months to materialize. Often seen in complex enterprise systems or long-term investment products.

Measuring Time to Value

TTV measurement varies by product type. Here are some common approaches:


Basic TTV = Time from Purchase to First Value Moment


Example: If a user signs up for a project management tool and creates their first project board in 20 minutes, that’s their TTV.

For more complex products:


Time to Basic Value = First meaningful use of core features

Time to Full Value = All key features being used effectively


Reducing Time to Value

Effective Onboarding

Modern email marketing tool example:

• Day 1: Create first email template
• Day 2: Import contact list
• Day 3: Send first campaign

Instead of requiring all setup before any action.

Progress Indicators

Show customers where they are in their journey:


Setup Progress: [██████----] 60%

Next Step: Connect Your Data Source


Quick Wins

Give users early success moments. A website builder might let users create a basic page before diving into advanced features.

Impact on Business Metrics

Short TTV correlates with:

• Higher conversion rates from trials
• Lower customer churn
• Better customer satisfaction
• Increased referrals

Example: A SaaS company reduced their TTV from 14 days to 3 days and saw:

• 40% increase in trial conversions
• 25% reduction in early-stage churn
• 50% increase in user engagement

Industry Examples

E-commerce Platform

Good TTV: First sale within 24 hours

• Templated store setup
• Sample products ready
• Payment processing pre-configured

Analytics Software

Reasonable TTV: First insights within one week

• Pre-built dashboards
• Data import assistants
• Guided analysis tools

Enterprise CRM

Acceptable TTV: Full implementation within one quarter

• Phased rollout
• Regular milestone achievements
• Early wins in specific departments

Best Practices

Focus on Early Success Moments

A complex product should still have simple initial wins. For example, Salesforce might highlight a user’s first contact entry before tackling complex automation.

Create Clear Success Milestones

Users should know what “value” looks like at each stage:

• First value: Basic task completion
• Core value: Regular feature usage
• Full value: Advanced feature mastery

Use Automation Wisely

Automate repetitive setup tasks but keep users engaged in meaningful decisions that affect their success.

Conclusion

Time to Value isn’t just about speed – it’s about getting users to meaningful success as efficiently as possible. The goal is to balance quick wins with sustainable long-term value, ensuring customers see both immediate benefits and long-term potential in your product.