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- What do Customer value over time and the Cohort table show?
Reading your P&L Answer 35 of 36 Updated
What do Customer value over time and the Cohort table show?
They show how much a customer is worth as the months go by. Both sit on the LTV tab in Insights. Both follow the switch between Contribution and Revenue.
Customer value over time draws the average value per customer, added up month by month after the first order. The bold line is All customers. A thinner coloured line shows Newer cohorts, and a grey one shows Earlier cohorts. A cohort is a group of customers who first bought in the same month. Each point only averages customers who have been with you that many months. A point with fewer than 10 such customers stays empty instead of being guessed.
In Contribution, a dashed line marks your blended CAC: your marketing spend over your whole history, divided by the new customers it won. Where the bold line crosses it, an average customer has paid back what winning them cost. A chip says when, like Pays back acquisition in month 3. Say winning a customer costs €30,00, and the average customer has left €31,00 by month 3. Then they pay back in month 3. The chip can also say Does not pay back within 12 months.
The Cohort table puts each first-order month on a row. M0 is the month of the first order, and +3 is three months later. In the Value view, each cell is the value per customer so far. In the Repeat % view, each cell is the share of the cohort who ordered again in that month. The first order never counts as a repeat. A dash means the cohort has not reached that month yet. Rows younger than 12 full months look dimmed, and the oldest months share one row called Older.
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