LTV (Lifetime Value)
Definition
Lifetime Value (LTV) is the total revenue a user generates over their entire relationship with your app. LTV includes in-app purchases, ad revenue (including offerwall), and subscription fees. It's the most important metric for determining how much you can spend on user acquisition.
How It Works
LTV calculation: LTV = ARPDAU × Average Lifetime (days). If your ARPDAU is $0.08 and average user lifetime is 60 days, LTV = $4.80. You can profitably acquire users at any CPI below your LTV.
Related Resources
Frequently Asked Questions
What does LTV (Lifetime Value) mean?
Lifetime Value (LTV) is the total revenue a user generates over their entire relationship with your app. LTV includes in-app purchases, ad revenue (including offerwall), and subscription fees. It's the most important metric for determining how much you can spend on user acquisition.
Why is LTV (Lifetime Value) important for offerwall advertising?
LTV calculation: LTV = ARPDAU × Average Lifetime (days). If your ARPDAU is $0.08 and average user lifetime is 60 days, LTV = $4.80. You can profitably acquire users at any CPI below your LTV.
Ready to Get Started?
Join 500+ publishers using RewardingHub to grow their games.