Lifetime Revenue (LTR) is a metric that shows the total revenue a business can expect to generate from a customer or partner throughout the entire duration of their relationship.

In regards to customer-driven revenue, customer lifetime value (CLV) estimates the total income a business can expect from a customer and offers a holistic view of a customer’s long-term value. It considers factors like repeat purchases, upsells, cross-sells and referrals, making it a valuable tool for assessing the profitability of different customer segments.

In the context of B2B partnerships, businesses can also measure the lifetime revenue of their partners as partner lifetime value (PLTV). While PLTV can be calculated in different ways, it typically takes the difference between the annual revenue a partner drives and the costs associated with running the program and estimates future revenue.

Understanding and optimizing LTR can have a significant impact on a businesses bottom line. By focusing on maximizing the value of each customer or partner relationship, businesses can achieve sustained revenue growth and improve profitability. Additionally, businesses can use LTR data to identify and prioritize their most valuable customer segments and partnerships, allowing them to tailor their marketing and support strategies for optimal results.