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In California, it costs Marini Meal Kits $166 to acquire one new customer, and the company spends an average of $75 per year to connect
In California, it costs Marini Meal Kits $166 to acquire one new customer, and the company spends an average of $75 per year to connect with and retain each one of its 58,000 existing customers. A typical California customer spends $2,597 with Marini in a year--with Marini earning an average 28% contribution margin as percent of revenue on these purchases. Marini sees a 81% retention rate on customers across California, and applies a corporate discount rate of 12% within this region. Calculate CUSTOMER LIFETIME VALUE for one Marini Meal Kits customer in California. (Rounding: whole dollar.)
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