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Customer Lifetime Value (LTV) Calculator

Estimate customer lifetime revenue and gross-profit value from order value, purchase frequency, lifespan and margin.

InputsChange a value to recalculate instantly
ResultUpdates as you type
Estimated customer lifetime40 months
Customer lifetime value$1,600
How it worksTransparent math

Calculation details are shown above.

Result breakdownSee the important numbers together
1Estimated customer lifetime40 months
2Customer lifetime value$1,600
λ DooMathWork with this calculation
Local · deterministic · optional
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Quick mathNatural-language-style shortcuts for deterministic arithmetic.
Calculator guide

How to use the Customer Lifetime Value (LTV) Calculator

Estimate customer lifetime revenue and gross-profit value from order value, purchase frequency, lifespan and margin.

01Set inputsChoose values, units and assumptions.
02Apply the modelRevenue LTV = Average order value × Purchases per period × Customer lifespan. Gross-profit LTV = Revenue LTV × Gross margin.
03Read the resultCheck the output against the assumptions before using it.
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What this calculator does

Estimate revenue generated during the expected customer relationship and optionally convert it to gross profit.

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Formula & method

Revenue LTV = Average order value × Purchases per period × Customer lifespan. Gross-profit LTV = Revenue LTV × Gross margin.

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Assumptions & notes

  • Use the same time unit for purchase frequency and lifespan.