XYZ Inc. is a gym and fitness center that wants to determine the customer lifetime value (CLV)

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XYZ Inc. is a gym and fitness center that wants to determine the customer lifetime value (CLV) of their members. The gym has been in business for three years and has collected the following data:

Average monthly membership fee (AMF): $50
Average customer lifespan (CLS): 2 years
Gross profit margin (GPM): 60%
Customer acquisition cost (CAC): $100

Using this information, calculate the customer lifetime value for XYZ Inc.

(Show all calculations and round to two decimal places)

Related Book For answer-question

Cost management a strategic approach

ISBN: 978-0073526942

5th edition

Authors: Edward J. Blocher, David E. Stout, Gary Cokins

See More Books

Posted Date: Mar 06, 2023 03:52 AM

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XYZ Inc. is a gym and fitness center that wants to determine the customer lifetime value (CLV)

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The detailed answer for the above question is provided below Step 1 Calculate the customer value CV ... View the full answer

Cost management a strategic approach

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