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 is the #1 all-in-one WhatsApp Marketing Platform for Shopify. Automate abandoned cart recovery, send order notifications, create powerful marketing campaigns, and manage all your customer chats in one place.
How our ltv calculator works?
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 (FAQ)
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