About Customer Lifetime Value

Only use customer lifetime value if you track customer lifetime value or you're interested in creating a value-based lookalike audience.

Customer lifetime value is a type of data only required for the creation of value-based lookalike audiences. It's a representation of the net profit you think will be attributable to a given customer over the duration of your relationship with them. You can break that value down into a few major factors:

• How often a customer makes a purchase within a typical purchase cycle
• How much a customer spends each time they make a purchase
• How much you project a customer will spend over the duration of your relationship with them
• The potential length of a customer's relationship with you