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If they are expecting to make a loss on the initial transaction, but make it up from LTV, I would be absolutely shocked as a marketer if they were not baking th
by shostack 9y ago
If they are expecting to make a loss on the initial transaction, but make it up from LTV, I would be absolutely shocked as a marketer if they were not baking that into the equation when determining whether a given channel was profitable for them.
- user5994461 9y agoOf course they do check for profitability. There are quite a few interesting stories about that actually. For instance, if a channel consumes the vast majority of the margin, that's still a valid channel. The advertiser could depend more on you than you depend on him.