TTV — Meaning and details

Time to Value

TTV stands for Time to Value, which refers to the amount of time it takes for a customer to experience the promised value of a product or service after its purchase or implementation.

TTV is an important metric for understanding how quickly customers can derive benefits from your offering. A short TTV helps improve customer satisfaction, retention, and overall business outcomes, as customers are more likely to stay loyal when they see value quickly. TTV is especially critical for SaaS companies, onboarding processes, and businesses selling subscription-based products or services.

For example:

• In SaaS, TTV could measure how soon after subscribing a user successfully implements the software and achieves their first key outcome (e.g., automating a process or generating a report).
• For e-commerce, TTV might refer to the speed at which a product is delivered and provides the intended value to the customer.

TTV is calculated as the duration between the moment a customer purchases or starts using the product and the point at which they achieve a meaningful outcome or key milestone.

Example:

• A customer purchases a SaaS platform on January 1 and completes the first automated workflow (their desired outcome) on January 15. In this case, the TTV is 14 days. TTV can be improved by streamlining onboarding, offering educational resources, and providing proactive customer support.