LTV Calculator

Calculate customer lifetime value to understand how much each customer is worth to your business.

Avg Order Value ($)

Purchases per Year

Customer Lifespan (years)

Use Cases

Determine customer acquisition budget
Segment high-value customers
Calculate marketing ROI

Frequently Asked Questions

What is a good LTV?

A good LTV is typically 3x your customer acquisition cost (CAC).

How can I increase LTV?

Improve retention, increase order frequency, upsell, and cross-sell.

How do I calculate LTV for a subscription-based business model?

For subscriptions, multiply monthly revenue per customer by gross margin, then divide by your monthly churn rate to get customer lifetime value accurately.

What strategies can improve customer lifetime value for my business?

Improve onboarding to boost retention, implement loyalty programs, personalize email marketing, and offer complementary products through strategic upsells and cross-sells.

Related Calculators

CAC Calculator ROI Calculator