Customer Lifetime Value Calculator

See what one customer is worth and what it takes to pay for marketing.

Lifetime value$3,000
Lifetime profit$1,200
Most to pay to win one$400
New customers a month to cover $3,0003

At your numbers, 5 new customers a month pay for Havstock Unlimited.

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How it works

Four numbers. One clear answer.

  1. Lifetime valueAverage sale, times sales a year, times years they stay.
  2. Lifetime profitLifetime value, times your profit margin.
  3. Most to pay for oneA third of lifetime profit, a common rule.
  4. Customers you needYour marketing spend a month, split by lifetime profit.
FAQ

Questions. Answered.

What is customer lifetime value?

It's all the money one customer spends with you while they stay. A patient who pays $300 twice a year for 5 years is worth $3,000, not $300. Knowing it tells you how much you can spend to win a new customer and still make money.

How do I work out customer lifetime value?

Multiply your average sale by how many times a customer buys each year. Then multiply by how many years they stay. Times your profit margin gives the profit. The calculator does all of it as you type, so you can try different numbers.

What is a good customer lifetime value?

There's no one number. It depends on your trade and your prices. What matters is that it sits well above what you pay to win a customer. If a customer brings $1,200 in profit and costs $300 to win, you're in good shape.

How much should I spend to win a new customer?

A common rule is up to a third of the profit a customer brings over their life. Spend much less and you may be growing too slowly. Spend more and each new customer costs you money, even when sales go up.

How can I raise my customer lifetime value?

Get customers back more often and keep them longer. Follow-up emails and texts, booking reminders, and a plan or membership all help. A small price rise lifts it too, as long as people still say yes. Each one makes every new customer worth more.

Does this work for my business?

Yes, if the same people buy from you more than once. Clinics, trades, law firms, gyms and hotels all fit. If most customers buy once, set sales a year and years to 1, so you see the value of a single sale.

Talk to Nate, Taylor and Channa

You run the business.
We’ll grow it.

Tell us what you need. We will call you to plan it.