Question for a subscription + one off business using LTVision

[fbahacker21]

Summary

I was working on the "pLTV Opportunity Size Estimation" section of the model

and just curious an example for an ecommerce brand with 80% subscription revenue 20% one off purchase, would you recommend I use scenario 1 or scenario 2 to test the model ?

[QiongWu-Q]

Hi there~ Thanks for testing LTVision Module 1 and asking the very first question! :) Which scenario to use depends on when user identification happen in relation to 1st revenue event. We have worked with advertisers with hybrid business models like yours, from an insights perspective, if your eCommerce customers and Subscription customers share their PII data at different point in time in relation to their 1st revenue event (e.g. Subscription customers might share days before paying and eComm customers share during checkout), then you could have two separate datasets and run Module 1 twice to evaluate the opportunity size separately and then combine the two estimated incremental revenue; from a pLTV model perspective, you don't necessarily need to separate the two types of customers, because the end goal is the same: to acquire more long-term high-value customers, despite which engagement type they chose. Let me know your thoughts! :)