Glossary
Contribution per client
Also called: client contribution margin, profit per coaching client
Contribution per client is what one coaching client leaves after the costs attached to them: their share of software, payment processing, anything you supply, and the delivery time they consume priced at an hourly rate. Subtract those from what the client pays each month. The remainder is that client's monthly contribution, and it can be negative.
Whole-business margin averages across the roster, which hides the spread underneath it. Contribution per client separates the clients who produce the result from the clients who eat it: the legacy-rate client who messages daily, the early adopter paying less than the current price and taking more delivery time than anyone else.
The decision contribution per client triggers is which clients are worth keeping at their current price. It is a roster segmentation question, and it is the unit of analysis behind raising prices on a roster you already have.
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