The total revenue a hotel can expect from a guest throughout their entire relationship with the brand.
Customer Lifetime Value (CLV) estimates the total value a customer generates over time. CLV helps you decide how much you can afford to spend to acquire a customer and still be profitable - especially when repeat purchase, renewals, or retention are meaningful.
Browse related definitions in the same glossary category.
Audience Segmentation
Dividing potential guests into groups based on behaviour, demographics, or interests to tailor marketing messages.
Average Daily Rate (ADR)
A hotel performance metric showing the average income per paid room occupied in a given time period.
Booking Engine
An online reservation system that allows hotels to take direct bookings through their website, usually integrated with PMS or channel managers.
Booking Funnel
The journey from awareness to reservation. Includes discovery, consideration, booking, and post-stay loyalty stages.
Booking Window
The number of days between when a guest books and their arrival date - valuable for campaign timing and segmentation.
Build vs Buy
The strategic decision between developing custom solutions or purchasing existing products and services.
Understanding "Customer Lifetime Value (CLV)" is just the first step. Our team at TwoSquares specializes in technical SEO and digital strategy, helping brands turn complex concepts into measurable growth.