Estimate customer lifetime value from order value, purchases and lifespan.
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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
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Using the default example values, the calculator substitutes 80 and 6 plus 4 into the formula. Change the values to model your own scenario.
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Average order value
Purchases per year
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$64.00
6
$1,536.00
$80.00
6
$1,920.00
$96.00
6
$2,304.00
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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.
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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.
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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.