It is important to consider the life-time value of a site’s member pool when calculating how much you can spend on acquiring members for that site. Some sites have higher LTV’s that others, so it is important to look at these on a site by site basis.
When calculating LTV for members that are still currently using a site, it is difficult to put a definitive figure on this as we don’t know how long they are planning on staying for, therefore, in this situation LTV is a prediction of the revenue attributed to the members based on an average of data from previous members.
