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Landing Page Optimization: The Definitive Guide to Testing and Tuning for Conversions, 2nd Edition by Rich Page, Maura Ginty, Tim Ash

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What Is the Lifetime Value of the Conversion Action?

The lifetime value (LTV) of a conversion action is the total financial benefit that your company will receive from your relationship with the visitor over the course of the current interaction and all future interactions. In some cases, this is easy to calculate; in other cases it is very difficult.

The easiest cases are when the conversion action is your ultimate goal and its value does not change after the action occurs. For example, if you sell a onetime-use or durable product and the client is unlikely to buy another one from you (such as aluminum siding with a lifetime warranty), the LTV of the conversion action is your profit margin on that sale.

For most businesses, many factors need ...

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