LTV Calculator
Calculate your Customer Lifetime Value (LTV) to understand true customer profitability. Our free e-commerce tool helps you make smarter marketing, advertising, and customer retention decisions.
Example and tips
A skincare store has a $58 AOV, customers buy 3.2 times a year, and stay 2.5 years. That is $464 of lifetime revenue. At a 62% margin, CLV profit is $288, so you can afford a CAC up to roughly $96 and still triple your money.
- Use a 12-month CLV, not a lifetime guess. Recent buyers give you a reliable cohort instead of optimistic math.
- A healthy store keeps a CLV-to-CAC ratio of 3:1 or higher. Below 2:1, growth quietly burns cash.
- Lift CLV before chasing new traffic: a post-purchase WhatsApp flow adds one repeat order and moves CLV more than ads.
What is Kanal?
Kanal turns WhatsApp into a sales channel for Shopify stores: abandoned cart recovery, order updates, campaigns to your segments, an AI chatbot and a shared inbox, with revenue tracked per message. See WhatsApp for Shopify in detail
Your Shopify store on WhatsApp in 15 minutes
Leave your email and store address: a Kanal expert shows you the WhatsApp flows that pay for your catalog, cart recovery, order updates and campaigns.
How does LTV Calculator work?
Calculate your Customer Lifetime Value (LTV) to understand true customer profitability. Our free e-commerce tool helps you make smarter marketing, advertising, and customer retention decisions.
1) Provide your customer metrics
Input your store's key averages: Average Order Value (AOV), the number of purchases a customer makes per year, and your gross profit margin.
2) Define the customer lifespan
Enter the average number of years a customer typically stays with your brand. This is a crucial factor in determining long-term value.
3) Calculate your total customer profit
Get an instant calculation of your profit-based Customer Lifetime Value (LTV), helping you make smarter decisions on ad spend and retention efforts.
Frequently asked questions
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