Customer metrics

₹
yrs
%

Leave 0 for revenue-based CLV only

Customer lifetime value

₹0revenue-based CLV

How CLV is calculated

Revenue CLV = AOV × Purchases per year × Customer lifespan
Profit CLV = Revenue CLV × Gross margin %

Compare profit CLV to CAC - a healthy ecommerce business often targets LTV:CAC of 3:1 or higher.

Detailed features

Retention value

Understand long-term value beyond first purchase.

Margin-aware

Optional gross margin for profit-based CLV.

CAC benchmark

Use with our CAC calculator for LTV:CAC ratio.

On the go

Also in the free Toolance Android app.

What the CLV Calculator tells you

This calculator helps you estimate how much gross value an average customer creates over the relationship. It turns a small set of inputs into a clear customer lifetime value, then shows the supporting breakdown so you can understand what moved the answer.

Inputs to check

  • Average order value: use a recent statement, quote or realistic assumption.
  • Purchase frequency: use a recent statement, quote or realistic assumption.
  • Customer lifespan: use a recent statement, quote or realistic assumption.

Try three scenarios

Run a likely case, a conservative case and a better case. Change one input at a time so you can see which assumption matters most.

How to use this estimate in a real decision

Write down the values you entered and the date you checked them. Compare options using the same assumptions, then include any fee, tax, penalty or provider rule that sits outside the calculator. A mathematically precise answer can still be incomplete when the inputs are old or optimistic.

Treat the result as a planning range, not a quote, approval or guaranteed outcome. Recalculate whenever your rate, price, income, goal date or business cost changes.

Frequently asked questions

CLV is the total profit or revenue you expect from a customer over the whole relationship. It helps you decide how much to spend on acquisition and retention.
Multiply average order value, purchase frequency per year and average customer lifespan in years. Subtract cost of goods if you want profit-based CLV.
If CLV is Rs 5,000, spending Rs 4,500 to acquire a customer loses money. Healthy businesses keep CAC well below CLV with room for ops cost.
Gross profit CLV is safer for decisions because it accounts for product cost. Revenue CLV overstates what you can spend on marketing.
Higher churn shortens average lifespan and drops CLV. Improving repeat rate often beats only chasing new customers.
Yes. Customers acquired in a sale season may buy less later. Track cohorts in your analytics, not one blended average only.
It is a formula-based estimate from your inputs. Real behaviour varies. Not a substitute for detailed analytics or finance review.
Yes. No signup needed for founders and marketing teams.