Lifetime Value

See yesterday's lifetime value. What impact did it have on your revenue?


Is it today's result common? Is it rare?

Density charts help you to see beyond simple averages to know if you need to take action. Decision-makers within companies have to focus on what matters. A simple average can't tell you when something is unusually good or bad. The density chart tells you how often something happens.

(density charts to detect trends) A density chart is the distribution of data over a continuous interval or time period.

The Terms

Lifetime Value (LTV)

The revenue per user within a lifetime period. We are using 6 months from the time of the initial purchase.

Yesterday's Lifetime Value

Yesterday's LTV is the revenue generated by sales first made 6 months ago, divided by the number of customers who purchased on that day. For example, if yesterday was July 1, it would show subscriptions that began on January 1.

% Lifetime Value Change

The change in yesterday's LTV from the average of the last 4 weeks same day as yesterday LTV as a percentage.

Impact on Revenue

The impact change in the LTV has on total revenue.

The Math

Yesterday's Lifetime Value

The lifetime value is 6 months.

100 new subscriptions on Day X, let's say January 1, 2020. By July 1, 2020, they have spent $10,000.

We divide the amount they have spent by the number of subscriptions. $10,000 / 100 = $100.

% Lifetime Value Change

If January 1st was Sunday, then LTV is compared with previous 4 Sundays before January 1st by taking the average of LTV and represented as a percentage.

Impact on Revenue

Calculated by finding the regression coefficient for LTV using linear regression multiplied with the change in the LTV(Eg-The difference between Sunday's LTV & the previous 4 Sunday's LTV multiplied with the regression coefficient), represented as a US dollar amount.

The Visuals

X axis (or horizontal axis)

Lifetime Value

Y axis (or vertical axis)

How often a particular LTV occurred during the period. This is also known as frequency.

Blue Curved Line

The frequency of each LTV during the period shown on a smoothed line.

Blue Vertical Line

Yesterday's LTV.

The Updates

This report, like most others, updates once per day at 8 a.m. CET / GMT+2.

The Filters

Default is 30 days like almost all reports