Affiliate CLTV

The purpose of this dashboard is to show the value and quality of each affiliate to/for the business. The metrics in this report will include CLTV, Initial Approval Rate, Refund Rate, Chargeback Rate and In-trial Cancellation Rate.

Potential Actions

  1. Allows for good conversations with affiliates about real data and actionable KPI's. After talking with affiliates over time, the goal will be that the affiliates understand that their metrics are being watched closely and that there is the ability to help provide information that will ultimately make them more money.
  2. Identify downward or upward trends that positively or negatively impact CLTV. Action can be taken early to influence LTV.

  • Data presented in this dashboard is based on "Acquisition Date" unless otherwise noted. Acquisition Date is the date that the original order was placed and allows Analytics to present data in an appropriately connected way.  Specifically, Acquisition Date associates Re-bill and Recurring transactions (Cycles 1…X) to the Initial transaction that initiated the order.  When calculating many metrics, disassociating the recurring transaction types from the date of origination (the Initial transaction) causes arithmetic inconsistencies and brings incorrect and misleading results - and ultimately incorrect business decisions.

    As an example: metrics that incorporate time-phasing and transaction type correlation into the calculation: think Re-Bill rate or Chargeback Rate; they both associate a transaction event to other components of the overall order within a timeframe.

    That being said, there are instances where you may want to simply see the count, or value, or count by transaction type, of transactions within a period.  When this type of analysis is performed it will be noted as such.

  • All test orders marked within the platform are automatically removed from the Analytics data.

 


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Chart / Table

Description

Formula

Average Cycles

The average number of cycles customers stayed active in the subscription. Average Rebill Cycle across all affiliates 

Rebill Rate

One of the most important metrics to monitor, the Rebill Rate is the percentage of Trials that convert to a Rebill (Cycle 1) order.

(Rebill Orders ÷ Initial Orders)

Customer Lifetime Value (CLTV) by Affiliate Chart

This chart shows the top 8 affiliates by CLTV.

(Gross Profit ÷ Unique Initial Customers)

Customer Lifetime Value(CLTV) by Affiliate table

This table shows the metrics relevant to Customer Lifetime Value (CLTV) for each affiliate.

 

Gross Revenue  

The total amount customers actually pay when they make their purchases.

Sum (Gross Revenue)

Orders  

The amount of approved transactions by affiliate.

Count(Approved transactions by affiliate)

New Customers  

The number of customers that are new to the period of time.

Count(New Customers)

CLTV 

The profit a business makes from any given customer (often referred to as LTV or CLV). The purpose of the CLTV metric is to assess the financial value of each customer.

(Gross Profit ÷ Unique Initial Customers)

Gross Profit = (Gross Revenue - COGs)

Rebill Rate  

One of the most important metrics to monitor, the Rebill Rate is the percentage of Trials that convert to a Rebill (Cycle 1) order.

(Rebill Count ÷ Initial Orders)

CLTV X-X Days  

Customer Lifetime Value 30-90 Days and 91-180 days provides comparative numbers to the "CLTV" number above, which uses the date filter to determine the start and stop date. These two metrics have a fixed start and stop date.

CLTV = (Gross Profit ÷ Unique Initial Customers)

 

Within the past x-x days

% of Orders  

The percentage of overall orders generated by each affiliate.

(Total Orders by Affiliate ÷ Total Orders)

Quality Indicators

This table shows the top indicators of quality such as Refunded Revenue Percentage, Average number of cycles, MCB Percentage, and In-Trial Cancelled quantity.  

Refunded Rev %

The percentage of refunds.

(Refunds ÷ Orders)

Refund #

Refund count by affiliate.

Count(Refunds by Affiliate)

Avg # of Cycles  

The average number of cycles customers stayed active in the subscription.

Avg (Cycles)

Initial Approval Rate  

The percentage of transactions that got approved. 

(Approved Initial Transactions ÷ Total Initial Transactions)

MCB %  

 The percentage of chargebacks.

(Chargebacks ÷ Orders)

In-Trial Cancelled

Orders that canceled before having a chance to rebill during the Initial Cycle. 

Sum (Initial Order Cancellations during trial period) 

In-Trial Cancelled %

The In-trial Cancel Rate is a great early indicator of traffic source quality. The higher the percentage of In-trial cancels, the lower the quality of traffic the source is driving. This is not always the best indicator of quality but again, it's a great early indicator. 

(In-trial Cancels ÷ Initial Orders)

Customer Lifetime Value(CLTV) Support Metrics

This table provides all of the metrics used to calculate Customer Lifetime Value (CLTV).

 

New Customers  

The number of customers that are new to the period of time. 

 Sum(New Customers) 

Gross Revenue  

The total amount customers actually pay when they make their purchases.

Sum(Order Total Revenue)

Gross Profit  

The total amount customers pay when they make their purchases minus Cost of Goods Sold (COGS). The total revenue generated minus the cost of the product before the deduction of any other expense assumptions.

(Gross Revenue - COGs)

COGs  

COGS stands for Cost of Goods Sold and is the total cost of producing a product up to the point of sale. This would include costs such as manufacturing costs, packaging costs, pre-sale shipping or import duty costs, etc.

(Orders × Product COGS)

Refunded  

Gross Revenue lost as a result of refunds.

Sum(Total Revenue of Orders Refunded)

Refunds w/o MCB  

Gross Revenue lost with the refunds from chargebacks not included.

Sum(Refunds from sources other than MCBs)

Net Revenue  

 

Net Revenue takes into consideration simple deductions to Gross Revenue - specifically, any refunds or Chargebacks.

Net Revenue does not deduct any other Expenses Types (e.g. Affiliate Costs, Operating costs, etc.) or Taxes.

(Gross Revenue - Refunds - Chargebacks)

CLTV  

The profit your business makes from any given customer (sometimes as LTV, CLTV or CLV). The purpose of the CLTV metric is to assess the financial value of each customer, or from a typical customer in case you're measuring it generally.

(Gross Profit ÷ Unique Initial Customers)

 

 

Gross Profit = (Gross Revenue - COGs)

 

*NOTE*:  All charts and data on this report are fixed to 6 months.  Even though it will let you try to change a date range in the filters, the data will still only show the last 6 months.

 

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