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Customer Lifetime Value (CLV)

Calculate the total value a customer brings to your business over time

Customer Lifetime Value (CLV) is the single most important metric for understanding how much you can spend to acquire a customer (CAC).

Calculator Inputs

$

Purchases per year

Average years they stay

%

Leave 100% for Revenue CLV, lower for Profit CLV

Results

Enter values above to see your results

How It Works

Simple Formula: Avg Purchase Value × Purchase Frequency × Lifespan. We also adjust for profit margin if provided.

Tips & Best Practices

  • A healthy business typically has a LTV:CAC ratio of 3:1 or higher.
  • Increasing retention (lifespan) has a compounding effect on CLV.

Frequently Asked Questions

Difference between LTV and CLV?

They are used interchangeably. Both refer to Customer Lifetime Value.