Can you tell me how the REPORT "Average Lifetime Value" actually works...Or does it work? It show Cohorts 1..13 (for year), then has a big value, and a rapidly decreasing value. It doesn't really show any details of what it's trying to show. In my mind, there should be a report that shows: 1. An average user's order value. 2. A repeat customer rate 3. An average user's order value over time. Any info, would be awesome!
It show Average Lifetime Value (total paid amount / number of paid users) distributed by time period. I.e. how much user spent in average in first period, second etc. Totals show how much user spent in average lifetime. e.g. if you set Grouping to "Year" then graph show how much in average user spent in first year, second year etc. In many businesses this graph has a big value, and a rapidly decreasing value. This report take into account only user who register in specified date period and make at least one payment. Best Regards.
Our users generally spend $30-35 a year. The next year, they generally spend $15-20 a year There is about a 80-90% retention rate year-over-year. Would it make sense that our values show this (grouped by YEAR over 7 year period)?...Looks weird and off to me:
Do you mean each paid user pay on second year and on third year? I guess only part of user who pay on first year pay on second and then only part of this user pay on third etc.