Modern Retail+

Explainer: From CAC to AOV, what DTC’s hottest buzzwords really mean

August 29, 2019

As direct-to-consumer brands have come to dominate the new retail landscape, they’ve also brought with them a new set of vocabulary. Many of these terms — CAC, LTV, AOV — are important for any retail company, regardless of whether or not they sell directly through their website or not. But they’ve become increasingly important to DTC companies, particularly the ones who have taken on venture capital funding.

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