Tools

# Customer Lifetime Value (CLTV) Calculator

## CLTV Calculator

\$2.12

Looking to boost your CLTV ?
Browse and Buy Projects to help improve the CLTV for your marketing

Oops! Something went wrong while submitting the form.
How to use CLTV Calculator?

The CLTV calculator makes it easy to determine your customer’s lifetime value. To use the calculator, you will need some key data about your customers:

• Average purchase value: Add together the value of all of the purchases that your customers made over a particular time period, then divide that by the number of customers purchases.
• Average purchase frequency: Using that same time period, divide the number of purchases made by the number of individual customers who made a purchase.
• Customer value: Multiply the average purchase frequency by the average purchase value.

Average customer lifespan: Calculate the average length of time that customers return and continue to make purchases from your business.

1
Step 1 Lorem Ipsum
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Diam diam.
2
Step 2 Lorem Ipsum
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Diam diam.
3
Step 3 Lorem Ipsum
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Diam diam.

## Browse retention rate and other marketing service opportunities.

What is CLTV?

You can use your CLTV to evaluate your customer acquisition strategy. When you know how much you can reasonably make from a single customer, you can better understand how much you should spend to acquire that new customer.

View Less
View Less
View Less
View Less
View Less
How is CLTV calculated?

The customer lifetime value calculator multiplies your customer’s value by the average customer lifespan. This CLTV formula results in your customer lifetime value.

View Less
View Less
View Less
View Less
View Less
What are examples of CLTV?

If your business had a customer value of \$150 and an average customer lifespan of three years, then using the calculation of customer value multiplied by customer lifespan means that your CLTV is \$450. This information can help you evaluate your marketing efforts and your marketing spend. You can verify that the amount of money you’re spending on marketing is justified by the revenue that you stand to receive from your customers over that period of time.

View Less
View Less
View Less
View Less
View Less
How can you improve CLTV?

You can improve CLTV in many ways:

• Implement personalized customer service to encourage customer retention.
• Optimize the customer journey and focus on overall customer satisfaction.
• Focus on providing a quality customer experience to encourage brand loyalty.
• Develop customer relationships and focus on providing personalized touches and engagement.
• Evaluate your pricing and offer perks and discount rates to encourage customer loyalty.
• Teach your staff how to upsell and explore cross-selling to increase profit margins and your average order value.
• Investigate when and why your customer base leaves, so you can reduce your churn rate.
• Use customer segments to deliver more personalized marketing for a stronger connection to your business.
• Focus on new marketing strategies to lower your customer acquisition cost while increasing the number of customers your business has.