Key takeaways
- LTV vs CAC vs ROAS — focus on one metric or lever at a time; validate with data before scaling spend.
- Pair reading with free Growthegy calculators (LTV, ROAS, break-even, pricing) to turn ideas into numbers.
- Bookmark growthegy.com/tools/ and run the Business Strategy Quiz when you need a prioritised roadmap.
Three core metrics
ROAS measures ad efficiency; CAC is cost per customer; LTV is revenue (or profit) per customer over time. Pair LTV with CAC using a 3:1 target.
| Metric | Question it answers |
|---|---|
| ROAS | Are these ads generating revenue per dollar? |
| CAC | What do we pay to acquire a customer? |
| LTV | What is a customer worth over time? |
LTV vs CAC guide · ROAS vs ROI
FAQ
- Which metric should I watch daily?
- ROAS for paid teams; LTV:CAC for founders; together they prevent efficient-but-unprofitable growth.