Customer Lifetime Value Calculator
Estimate revenue and gross profit across an assumed customer lifespan. Use observed purchase frequency and retention when available.
Live result
Estimated revenue LTV
$400.00
Estimated gross-profit LTV
$240.00
Calculated in your browser. No account needed. Your numbers are not sent to Studio24.
The formula
Revenue LTV = average order value × annual orders × lifespan. Gross-profit LTV = revenue LTV × gross margin.
Worked example
50 per order × 4 orders per year × 2 years = 400 revenue LTV. At 60% gross margin, gross-profit LTV is 240.
How to use the result
Gross-profit LTV is more useful than revenue LTV for comparing with CAC, but contribution LTV should also subtract variable service and fulfillment costs.
What this calculation leaves out
This is a simplified estimate, not a forecast. It excludes discounting, retention curves, cohort differences, refunds and changes in purchase behavior.
Put the result to work.
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