LTV Calculator: estimate what a customer is worth
Estimate lifetime revenue and value after gross margin for an ecommerce or subscription business.
How to use
- Choose Ecommerce or Subscription.
- For ecommerce, enter order value, purchases per year and customer lifespan. For subscriptions, enter monthly revenue per customer and monthly churn.
- Enter your gross margin and optionally your acquisition cost.
- Read gross LTV, value after margin and the LTV:CAC comparison.
Use consistent currencies and realistic assumptions. This model does not predict an individual customer’s behavior.
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Lifespan is derived from churn: 4% monthly churn ≈ 25-month average lifetime.
–Avg. lifespan
–Gross LTV
–Net LTV
–LTV : CAC
Enter your numbers
Fill in the fields for your business model to see what the average customer is worth.
Ecommerce: LTV = AOV × purchases/year × lifespan × margin. Subscription: LTV = ARPU × margin ÷ churn rate.