It is very important to consider how much the client spends with you for all the time of interaction with you. This is called the period of the client's life. You need to calculate how much the customer spends for the ENTIRE period of interaction with you, and not for one purchase. If you calculate the profit it makes, you can spend more money on advertising than your competitors.
Usually entrepreneurs spend on advertising half of the income that the client brought to them and do not take into account the fact that the client can return again to the store, and then again and again. Thus, once the attracted client can repeatedly create profit for you. If you consider these factors, would you like to have 10 clients daily or 1000? Knowing how much the customer spends in your life, you can invest much more to attract new customers and increase profits.
Use to count Excel. It is important for you to know this parameter and keep records of your customers. Be sure to consider where the client came from, as from different sources the client can interact with you in different ways. For example, if it was a personal meeting, the client may live longer than if it was the distribution of leaflets. This parameter is always fixed in your table.
