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Re:Groupon IPO: The Silver Lining by imjk on Friday August 12, 2011 @11:04AM (#2877547)
I can almost guarantee that number is positive and % Repeat is something they closely monitor and consider in their internal equationss. As any direct response/lead gen marketer knows, customer retention rates/repeat buyer % is a crucial element in the formula. I suspect they have a very clear idea of what this rate is right now, and as their business grows, this number only gets more accurate. Right now, operating costs aside, they only need to get their lifetime value per customer above $5.75 in North America, which isn't entirely unfathomable.
Re:Groupon IPO: The Silver Lining by atopiler on Friday August 12, 2011 @12:38PM (#2877982)
I think you're right that they track this very closely internally. You hit the nail on the head with LTV - with the amount they spent to acquire what they already have, the outlook for clearing that LTV hurdle doesn't look that bad.