The Revenue LTV chart: Track how well you're monetizing new users

Successfully acquiring, engaging, and retaining new users doesn't help your company grow if you can't monetize them.

With Amplitude's Revenue Long-Term Value (LTV) chart, you can:

  • See how well your organization is monetizing new users, using common, relevant, easy-to-understand revenue metrics.
  • Analyze new-user monetization with a time horizon of as much as twelve months into the past.
  • See how quickly and effectively segments of new users are transitioning to paying users.
  • Set benchmarks and goals for new user monetization going forward.

Feature availability

This feature is available to users on Growth and Enterprise plans only. See our pricing page for more details.

Before you begin

Events don't appear in any Amplitude charts until instrumentation is complete, so make sure you've got that done. Before you begin, see the article about building charts in Amplitude.

See the tracking revenue documentation to learn how to track revenue events. For example, if you use Amplitude's SDKs, call logRevenueV2() with the provided revenue interface. If you track in-app purchases (IAPs), use Amplitude's revenue authentication system.

Note

Amplitude doesn't support currency conversion. The revenue value you send Amplitude is what's aggregated and displayed. If you get revenue in different currencies, normalize to a single currency before you send any revenue data to Amplitude.

Set up a Revenue LTV chart

Like most other Amplitude charts, the Revenue LTV chart has an Events Module. Use [Amplitude] Any Revenue Event here. This lets you analyze the data sent by Amplitude's SDK when it logs revenue events.

However, you can also choose to calculate revenue based on other events. You can segment on the event itself by adding properties to it in the Events Module.

To build a Revenue LTV chart, follow these steps:

  1. Select your revenue event and the event property that contains the revenue information, if one exists. If you are using [Amplitude] Any Revenue Event, you should select $revenue. If you are using your own custom revenue event, you can select your own custom revenue property.

Note

You don't have to use a revenue property here, it's the most common use case of the Revenue LTV chart.

  1. Add properties to the revenue event by clicking on + Filter, selecting the property name, and specifying the property value you’re interested in. You can add as many properties as you like, one at a time.

    Note

    These properties must be explicitly sent by you via Amplitude's SDKs when you log revenue events.

    If you are using [Amplitude] Any Revenue Event, you can filter on one of five event properties to filter on, all prefixed with a $:

    • $price: The price of the products purchased
    • $productId: A product-specific identifier for each item purchased
    • $quantity: The quantity of products purchased
    • $revenueType: The revenue category—common values include income, tax, refund, etc.
    • $eventProperties: An object of event properties to include in the revenue event
  2. In the Segmentation Module, identify the user segment you want to include in this analysis. Click Saved Segments to import a segment you saved already. Otherwise, Amplitude begins from the assumption that your analysis targets all users.

  3. If you don't want to import a saved user segment, you can start building your own by adding properties. To do so, click + where, choose the property you want to include, and specify the property value you’re interested in.

  4. You can narrow your focus even further by telling Amplitude you only want to include users who have already performed certain actions. To do so, click + perform, then choose the event you’re interested in.

  5. If desired, add another user segment by clicking + Add Segment, and repeating steps 3 and 4.

  6. Choose the measure you'd like to use for this analysis.

    • Total Revenue: This shows the total revenue received during the time frame of your analysis. Specifically, it's the sum of all total revenue from all new users, beginning the day they sent their first Amplitude event. You can break this out on an hourly, daily, weekly, monthly, or quarterly frequency.
    • New Paying Users: This shows the number of users who triggered a revenue event for the first time during the specified hour/day/week/month after their cohort's start date.
    • ARPU: Short for average revenue per user, this is a new user cohort's cumulative total revenue as of the hour/day/week/month you're looking at, divided by the number of users in the cohort.
    • ARPPU: This is the same as ARPU, except it considers paying users only. A paying user is a user who's ever triggered a revenue event, even if their first revenue event occurs after the specific data point you're looking at. For example, if a user first purchases something on the fifth day after they began using your product, they're considered a paying user when calculating ARPU over their first four days.

    Note

    Each of these metrics only looks at users who were new to Amplitude during the time frame of your analysis. They don't need a triggered a revenue event to be included, except for ARPPU.

  7. Use the date picker to set the frequency breakdown and time frame of your analysis.

Next steps

Next, learn how to interpret your revenue analysis.

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November 25th, 2024

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