Calculating your Net Promoter Score (NPS)

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mouakter13
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Joined: Mon Dec 23, 2024 3:50 am

Calculating your Net Promoter Score (NPS)

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Formula : Average subscription price * Average customer lifetime (subscription duration) / Number of customers.

CLV:CAC Ratio
The CLV:CAC ratio is simply the ratio at which the customer lifetime value is greater than the cost of acquiring that customer. If it costs you $60 to generate a customer, and each customer is worth an average of $180, your CLV:CAC ratio is 3.

Formula: CAC / CLTV

Customer churn rate
Customer churn rate is the percentage of paying customers who afghanistan phone number datacancel their subscription over any period of time. For example, a weekly churn rate will be very different from a quarterly churn rate.

To calculate your churn rate, you simply decide on a specific time period and calculate the percentage of your total users who have left. If 100 out of 10,000 customers leave in a month, your monthly churn rate is 1%.

If you want to calculate churn separately from growth , you must exclude newly acquired customers from the totals when doing the calculation.

Formula : Users who left in period X / Total existing users X 100

Net Promoter Score
The Net Promoter Survey is a widely adopted survey that many startups and SaaS businesses use to measure how likely a user is to promote their product.

It is a simple one-question survey that asks the customer to rate how likely they are to recommend your product.
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