Glossary
Client tenure
Also called: average client duration, average client lifetime
Client tenure is how long an average client stays with a coaching business, measured in months. It is calculated as the total months of coaching delivered across completed client relationships, divided by the number of relationships. Tenure sets lifetime value, determines how much client acquisition can cost, and is the single most important number in a coaching business.
Retention is usually expressed as a percentage, and the percentage hides the arithmetic that matters. A churn rate says how many clients left. Tenure says how long the relationship lasts, which is the number that decides what the business is worth.
The value of one extra month per client is near-zero marginal cost, because the program is built and the relationship is established. Improving average tenure by one month across a roster adds a full month of revenue with no acquisition cost attached, which is why tenure compounds faster than any other lever.
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