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There's No Such Thing As "Revenue"

There's No Such Thing As "Revenue"

FromThe Andrew Faris Podcast


There's No Such Thing As "Revenue"

FromThe Andrew Faris Podcast

ratings:
Length:
25 minutes
Released:
May 30, 2023
Format:
Podcast episode

Description

I tweeted a version of that episode title not long ago. It's nonsense: there is, of course, such a thing as revenue.
But in DTC, revenue is also one of the metrics I reference the least often. Instead, I'm constantly breaking it down into two smaller metrics, both of which tell me a lot more: New Customer Revenue and Returning Customer Revenue. In fact, those are the first two things I look at when I analyze a business.
In this episode I'll not only explain how I do that, but why I believe developing that same instinct is at the foundation of good growth thinking for every ecommerce brand.
EPISODE HIGHLIGHTS

[00:00:09] New vs. Returning Customer Revenue. 
[00:04:25] Returning customer revenue. 
[00:06:11] High LTV customers.
[00:09:27] Customer movement and strategy.
[00:12:02] Forecasting ad spend and revenue. 
[00:15:01] Forecasting DTC Business. 
[00:19:38] CAC and LTV importance. 
[00:20:47] Customer Revenue and Profit.
[00:24:26] High LTV Brands.

EPISODE SPONSOR
Visit Settle at ⁠⁠www.settle.com/andrewfaris⁠⁠ for a complete platform to manage Bill Pay/AP with fast access to extended payment terms at competitive rates and no personal guarantee.
OTHER EPISODES REFERENCED IN THIS SHOW

"What To Do When You Have Great LTV" (Apple, Spotify)

FOLLOW UP WITH ANDREW

Follow Andrew on Twitter: ⁠⁠⁠⁠⁠@andrewjfaris⁠⁠⁠⁠⁠
Email Andrew: podcast@ajfgrowth.com
Work with Andrew: ⁠⁠⁠⁠⁠www.ajfgrowth.com⁠⁠⁠⁠⁠

EPISODE MUSIC

Music Intro: "⁠⁠⁠⁠⁠Tell Me Mama⁠⁠⁠⁠⁠" by The Devious Means
Music Outro: "⁠⁠⁠⁠⁠Rusty Little Scissors⁠⁠⁠⁠⁠" by The Devious Means
Released:
May 30, 2023
Format:
Podcast episode

Titles in the series (93)

Andrew Faris has been growing ecommerce brands since 2014 as everything from a media buyer to the head of strategy at Common Thread Collective to the CEO of 4x400, a DTC aggregator. Join him every week to learn the nuts & bolts of how to grow ecommerce brands, always shared with refreshing candor.