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Customer Lifetime Value Calculator

Work out what a customer is actually worth to your business, on a revenue basis and a profit basis, so you know what you can afford to spend keeping them.

What's the difference? Simple CLV tells you how much revenue a customer generates over their relationship with you. It's quick and useful for a top-line view, but it ignores cost. Margin-adjusted CLV factors in your profit margin, so it tells you how much profit a customer actually generates. That's the number you should use when deciding how much to spend on acquisition or retention, because revenue alone can make an unprofitable customer look valuable.
Top tip
Run this for each of your customer segments, not just as one overall audience metric. Blending everyone together hides your best and worst segments. Break it down by acquisition channel, product line or behaviour to see where the real value sits, and where you might be overspending to retain customers who were never going to be worth much.

Simple CLV

CLV = Average Order Value × Purchase Frequency × Customer Lifespan

The average amount spent per order
£
Average number of orders per customer, per year
Average number of years a customer stays active
Simple CLV
£0.00
Revenue-based estimate. Enter your figures above.

Margin-Adjusted CLV

CLV = Average Order Value × Purchase Frequency × Customer Lifespan × Profit Margin

The average amount spent per order
£
Average number of orders per customer, per year
Average number of years a customer stays active
Your average profit margin on orders
%
Margin-Adjusted CLV
£0.00
Profit-based estimate. Enter your figures above.
Built by eFocus Marketing — CRM & retention strategy that grows customer value.