<b>LTV: the number that tells you what one referral is really worth</b>

<b>LTV: the number that tells you what one referral is really worth</b>

New to recurring? Beginners think "I earn $6/month" and stop. Pros think in LTV — Lifetime Value — the total a single referral pays you across their whole subscription. It reframes whether a program is worth your effort.

1. Take your monthly commission. Say $6.
2. Estimate how many months the average customer stays. With 5% monthly churn, that's roughly 20 months.
3. Multiply: $6 × 20 = $120. That's what one referral is truly worth to you over time.

<i>In plain English:</i> a referral isn't a $6 win — it's a $120 win paid in slow installments.

Worked example: a program with 10% churn means customers stay ~10 months. Same $6 = $60 LTV. The lower-churn program is worth double per referral, even at the same rate.

Tiny action: estimate the LTV of your favorite program with that simple math. Once you know one referral is worth $120, finding the next one feels a lot more motivating.