Customer Life Time Value

Measure profitability with Customer Lifetime Value (CLTV) in Intentwise Explore and optimize campaigns by targeting high-value customer segments.

Customer Life Time Value

Customer Lifetime Value (CLTV) measures the total revenue a customer brings to your brand during their entire relationship with you, after factoring in acquisition and retention costs. This dashboard helps you evaluate profitability per customer, identify valuable customer segments, and optimize ad spend for long-term growth.

Customer Life Time Value Overview

This view explains what CLTV is and defines the four customer segments: Low CLTV, Growth Opportunities, Revenue Opportunities, and High CLTV. The top KPIs (CLTV, Revenue per User, Spend per User, Total Sales, Purchased Users, NTB Purchased Users, Spend) give a quick health check of customer profitability.

User Distribution by CLTV

Shows ranking of customer segments based on CLTV value and contribution to Total Sales. For example, “Revenue Opportunities” may generate the most sales but with high ad costs, whereas “High CLTV” users are profitable at a lower cost.

Spend vs. Revenue Visualization

Bar chart comparing Revenue per User (blue) and Spend per User (purple) across the four customer segments. This highlights which groups generate outsized revenue relative to ad spend (e.g., High CLTV).

Performance by Customer Segment

Breaks down Sponsored Ads vs. DSP Spend across segments, further split by Returning vs. NTB customers. This helps understand where ad dollars are most effective in acquiring new customers vs. retaining existing ones.

Metrics by Customer Segment

A tabular summary of all key metrics (CLTV, Revenue per User, Spend per User, Total Sales, Purchased Users, and NTB Purchased Users) by customer segment. This is the most granular view, ideal for exporting or benchmarking over time.

How it works

  1. Navigate to Intentwise Explore

  2. Go to Queries > Query Library

  3. Search for and add "Customer Life Time Value" to your saved queries

  4. Fill in the required parameters and run the query (see this article for detailed settings)

  5. Once executed, access the results under the Insights section for detailed metrics and visualizations.

Key Use Cases

  • Retention Strategy: Identify high CLTV customers and allocate minimal spend to retain them.

  • Upsell / Cross-sell: Target “Growth Opportunities” with personalized campaigns to increase average revenue.

  • Cost Efficiency: Reduce spend on “Low CLTV” users and reallocate to more profitable groups.

  • ROI Optimization: Compare spend vs. revenue across customer types to maximize return.

Recommendations

  • Prioritize High CLTV: Retain them with loyalty programs and exclusive deals; minimal spend is sufficient.

  • Test Growth Opportunities: Run small, targeted campaigns (e.g., Sponsored Display retargeting) to see if they scale into higher-value users.

  • Audit Revenue Opportunities: Analyze if high spend is justified; optimize ad efficiency with better targeting.

  • Reduce Waste: Limit exposure to Low CLTV segments unless new strategies show improvement.

  • Track Over Time: Use rolling CLTV trends to measure if acquisition campaigns are improving profitability.

Frequently Asked Questions

What are instructional queries?

Amazon Marketing Cloud's (AMC) instructional queries provide pre-written SQL code that AMC users can use as is or modify for common measurement and analytics tasks.