Field Notes
On the Frontier

This is a living laboratory. It features experiments in human-AI collaboration, creativity, and business management.

MBA Boot Camp: Digital Marketing & Metrics (5.3)
Alex LeClair Alex LeClair

MBA Boot Camp: Digital Marketing & Metrics (5.3)

Historically, marketing was famous for the quote: "Half the money I spend on advertising is wasted; the trouble is I don't know which half."

Digital marketing changed that. Today, everything is measurable. As an MBA marketer, you won't just pitch creative ideas, you will pitch the math. The most important math in digital marketing is the LTV:CAC Ratio.

  • If it costs you $50 in Facebook ads to acquire a customer (CAC = $50).

  • And that customer buys a $10 monthly subscription and stays for an average of 20 months (LTV = $200).

  • Your ratio is 4:1.

Read More