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Understanding Customer Profitability

newport customer profitability

The Importance of Firing Customers

Not all customers are going to be ideal. You might notice that some of your customers require a great deal of time, effort and resources but are not profitable for your company. As a growth company it is important to know when you should fire a customer.

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The Importance of Calculating Customer Acquisition and Lifetime Value

Many companies cannot identify their most profitable clients or calculate the lifetime value of a customer. These companies often stall in No Man's Land because of wasted time and resources spent on customers that produce an inadequate return. Some products/campaigns lead you to an audience of "one." Some lead you to a much larger market.  


Newport Board Group will help you:

  • Identify opportunities to scale your business while preventing a stall.
  • Step outside the day-to-day and strategically see where your could be better focusing your efforts.
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The Brutal Facts of Customer Profitability

Most growth companies struggle with:
  • Identifying their most profitable clients.
  • Calculating the cost of customer acquisition.
  • Determining the lifetime value of a customer.