customer equity

Definition

Value of potential future revenue generated by a company's customers in a lifetime. A company with high customer equity will be valued at a higher price than a company with a low customer equity.

Use customer equity in a sentence

  • You need to have strong customer equity so that you can always trust them to come back to your business.

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  • The customer equity was huge as most people are able to recognize the brand and after a lifetime of interactions its only right our company is remembered.

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  • I trusted that our customer equity was great and I thought that it would be an amazing way to become an amazing company.

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