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I might be off, but why are you adding CAC back into Contribution Margin to determine LTV? This seems like more of a sunk cost that would imply 1x LTV/CAC than
by warren-williams 4y ago
I might be off, but why are you adding CAC back into Contribution Margin to determine LTV? This seems like more of a sunk cost that would imply 1x LTV/CAC than the 2x that you show?
Other than that, nice article!