• Home
  • For Entrepreneurs…
  • For Startups…
  • For Corporations…
  • Ventures
  • Listen to Podcast
  • Search Startups
  • Search Mentors
  • Browse Events

THE CENTER OF GRAVITY FOR ENTREPRENEURS IN TEXAS

What's Wrong with the LTV Metric?

By Joshua Baer |  12/15/2013 | Growth Phase

(Contributed by Jason Cohen, Capital Factory Partner)

Metrics summarize tons of processes, causes, and effects into a single number. It’s a two-edged sword.  It’s powerful because it lets you reason about complex systems, especially how it’s changing. It helps you focus on what’s important at a macro level.

But it’s dangerous when it combines so many disparate and disjoint processes and systems that the number loses precision. Because then you think you understand something that you don’t. That’s how bad decisions are made with confidence.

I argue that for many SaaS businesses, the incorrectness of the LTV metric outweighs the value it supposedly confers.

Read the full blog post here.

Comments

Categories

  • Announcements
  • Austin
  • Business Development
  • Coworking
  • Customer Acquisition
  • Dallas
  • Diversity & Inclusion
  • Events
  • Fundraising
  • Getting Started
  • Government
  • Growth Phase
  • Houston
  • M&A
  • Mentors
  • Sales
  • San Antonio
  • Strategy & Planning
  • SXSW
  • Uncategorized

Tags

#Dallas #AWS #Startup #Pitch #Dallas #Branding #Dallas #CEO #Buzzballz #Dallas #HR # #Dallas #Leadership #Networking #Dallas #LiftFund #VC #Funding #Dallas #Marketing #Strategy #Dallas #Pediatric #Medical #Nutrition #Dallas #Socialmedia #Dallas #Startup #Accounting #Dallas #Thinkful #Coding #Dallas #VC #Funding #Dallas #WordPress #Dallas #WordPress #Website 3D Printer 360 Video accelerator austin austincoworking Austin coworking austindowntown business Capital Factory Cloud9 coworking downtownoffice edtech entrepreneur entrepreneurship event Houston startups incubator Investing Kahoot Pitching Silicon Valley Startup startups sxsw tech tech hub vip Virtual Virtual Reality VR

Questions?

Test

  • Mission
  • Our Team
  • Private Tours
  • Parking
  • Ask Us Anything
  • Code of Conduct
  • For Entrepreneurs…
  • For Startups…
  • For Corporations…
  • Ventures
  • We Are Hiring!
  • Media and Press

Newsletter Signup

701 Brazos St, Austin, TX 78701
(512) LIV-WORK
Crafted by HMG Creative

By Appointment Only

Our doors are open! Reach out to Members@CapitalFactory.com to book your private, in-person membership tour.

Want To Take Private Tour?

  Take a 360° Video Tour →