Deep dive: Cancellation rate in SaaS business models
A Smart Bear: Startups and Marketing for Geeks
OCTOBER 17, 2011
” For a simple subscription business model the formula is easy to write but hard to compute : [LTV] = [monthly revenue] × [number of months in lifetime]. The other useful thing we do with cancellation rate is to compute LTV (customer L ife T ime V alue), but I don’t use the simplistic technique espoused by many others.
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