I just noticed a new report in my Google Analytics accounts: the Lifetime Value Report is a valuable addition to the existing reports. It is still in beta.
You’ll find the new report in Audience > Lifetime Value.
In the report, you can compare the lifetime value based on two metrics.
The metrics available are goal completions, pageview, revenue, session duration, sessions, tenure and transactions per user.
There are some interesting cumulative metrics here. Finally, we have an easy way to look at users (as defined by cookies) over different sessions. Unfortunately, without user identification these metrics cannot unify visitors over different browsers and devices.
In addition, you can easily compare the LTV of users acquired via different channels, sources, mediums and campaigns.
Measuring customer lifetime value is a challenge for digital marketers and analytics tools. This report is a first step in the right direction, but it certainly does not solve the problem of calculating the LTV in the multi-screen world.
In the report, the data is calculated simply as the cumulative average value per user per the time increment you are using (day, week, month). You can find more information about the calculation in Google’s documentation.
Lifetime value is calculated using the cumulative sum of the metric value divided by the total number of users acquired during the acquisition date range. For example, if you acquired 100 users during the acquisition date range, then Sessions Per User is calculated as follows:
Without identifying users over sessions, browsers and devices, the measured lifetime value can never be more than a first estimate of the true lifetime value.