Customer Lifetime Value Calculator
Enter your average order value, how often a customer buys per year, and how many years they stay. The calculator estimates lifetime revenue and, with a margin, lifetime profit.
Enter an order value, purchase frequency, and lifespan above to see lifetime value.
How lifetime value works
Customer lifetime value multiplies your average order value by how often a customer buys each year and how many years they stay. It tells you what one customer is worth, which sets a ceiling on what you can spend to acquire them. LTV and CLV are the same metric.
Add a gross margin to turn lifetime revenue into lifetime profit. This is the simple CLV model, which fits most e-commerce and retail sellers. Subscription businesses with churn and discount rates need a cohort-based model instead.
Frequently Asked Questions
What is customer lifetime value?
Customer lifetime value is the total revenue one customer brings over the time they keep buying. The calculator multiplies average order value by purchase frequency by customer lifespan.
Are CLV and LTV the same thing?
Yes. Customer lifetime value and lifetime value are two names for the same metric. This page covers both. LTV and CLV use the same inputs and the same formula.
How do I get lifetime profit instead of revenue?
Enter your gross margin percentage. The calculator multiplies lifetime revenue by that margin to estimate the profit a customer contributes, not just the revenue they generate.
Is this a simple or advanced CLV model?
This is the simple CLV model, which fits most e-commerce and retail sellers. Subscription businesses with churn and discount rates need a cohort-based model instead.
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