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Customer Lifetime Value Calculator

Estimate revenue and gross profit across an assumed customer lifespan. Use observed purchase frequency and retention when available.

Use one currency consistently. Results are shown in the currency you select.

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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