Customer Lifetime Value Calculator

Customer Lifetime Value Calculator

Estimate customer lifetime value from order value, purchases and lifespan.

SOBANUKIRWA IGISUBIZO

Ibi bibarwa bite?

This calculator applies the displayed business formula directly to your inputs. It keeps full precision during the calculation and rounds only the displayed result.

Customer Lifetime Value formulaLTV = order value × annual purchases × lifespan

Urugero rufatika

Using the default example values, the calculator substitutes 80 and 6 plus 4 into the formula. Change the values to model your own scenario.

Igisubizo cyabazwe

Average order valuePurchases per yearIgisubizo cyabazwe
$64.006$1,536.00
$80.006$1,920.00
$96.006$2,304.00

Ibyafashwe nk'ukuri, uko ibisubizo bisobanurwa n'amakosa akunze kubaho

Ibyafashwe nk'ukuri mu ibara

  • The values entered for average order value and purchases per year are accurate for the scenario.
  • Rates and recurring amounts remain constant for the period represented by the formula.
  • Provider fees, taxes and timing differences are excluded unless they are explicit inputs.

Uko wasobanura igisubizo

  • Treat the main number as a planning estimate, not a quote, approval or guarantee.
  • Compare at least a baseline, lower and higher assumption before deciding.
  • Use the result together with the related business calculators for a broader view.

Amakosa akunze kubaho ugomba kwirinda

  • Entering a percentage as a decimal when the field expects a whole percent.
  • Comparing results that use different time periods or omit different fees.
  • Rounding inputs early or treating an estimated rate as guaranteed.