Our next sales KPI example refers to your customer lifetime value (CLV) which is important to track because the longer you keep having paying customers, the more you’ll make. To calculate this sales metric, you need to distract your CAC from the total amount of revenue which you expect to get from a new customer over the lifetime of the relationship. If your ARPU and CLV are rising, it signals that on average you are getting more revenue from each customer, for longer and that’s exactly what you should be aiming for. CLV enables you to understand how much you can allow for your CAC to still be profitable; a healthy ratio is key.
Performance Indicators
As long as customer lifetime value and average revenue per unit are growing, you’re in the green and your CAC are appropriate.
Anthony (Tony) Crilly is a seasoned B2B sales and marketing professional with 20+ years of experience helping top technology companies grow. He has led sales development for leaders like Oracle, IBM, NetApp, and Roadmunk, specializing in outbound strategy, account management, and go-to-market execution. His work spans cloud, cybersecurity, SaaS, and digital transformation, with a track record of building pipelines, generating qualified leads, and driving customer success.
Beyond his career, Tony is passionate about health, fitness, and nutrition, drawing on decades of endurance training as a runner cyclist, and swimmer. He also writes on topics that connect business, personal growth, and everyday life, sharing lessons from both success and challenge. A dedicated family man and faith-driven, Tony brings the same intensity and commitment to personal goals as he does to professional ones — whether it’s overcoming obstacles, supporting others, or leading by example.