Handy excel worksheet calculates the Lifetime Value of Customers
How much is each customer worth?
What is it worth to invest in developing a relationship with each new customer, given that you can market to him or her over time?
Values in blue are sample data — Replace these values with your own numbers.
Observe the affects of each additional referral on the Net Present Value of each Customer.
This will tell you a lot about the importance of quality customer service and overall satisfaction with your product or service.
Download and customize this Excel template