Question: why does the CLV change so much from Month 0 to Month 1? Did the customers get more valuable in one month? Do you think

 why does the CLV change so much from Month 0 to

  1. why does the CLV change so much from Month 0 to Month 1? Did the customers get more valuable in one month? Do you think using this for M provides a meaningful CLV?
  2. Compare the CLV from the calculator with the CLV you calculated above using the Contribution Margin for M. In your view, which is the more helpful M to use? Explain in one or two sentences

Customer Lifetime Value Calculator Price Margin per Customer Discount Rate Customer Retention Rate Customer Lifetime Value $19.99 $0.19 1% 99.00% $10.28 History Month 0 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Margin per Customer $1.24 $0.19 Discount Rate 1% 1% Customer Retention Rate 99.00% 99.00% Customer Lifetime Value -$67.65 $10.28 Customer Lifetime Value Calculator Price Margin per Customer Discount Rate Customer Retention Rate Customer Lifetime Value $19.99 $0.19 1% 99.00% $10.28 History Month 0 Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Margin per Customer $1.24 $0.19 Discount Rate 1% 1% Customer Retention Rate 99.00% 99.00% Customer Lifetime Value -$67.65 $10.28

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