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Customer Lifetime Value Calculator

Calculate customer lifetime value (LTV) from average order value, purchase frequency, and retention. Free LTV calculator for service businesses.

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Results

Annual revenue per client€600.00
Customer LTV€1800.00
Max acquisition cost (20%)€360.00

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Frequently asked questions

What is customer lifetime value (LTV)?

LTV = Average order value × Purchase frequency × Customer lifespan. It tells you how much revenue to expect from an average customer over their relationship with your business.

How does LTV help with marketing budget?

If your LTV is €500, spending €50–100 to acquire a customer is justified. LTV sets your maximum acquisition cost (CAC) ceiling.

How do I increase customer LTV?

Increase visit frequency with reminders and follow-ups, increase average order with upsells, and extend retention with loyalty programs — all manageable in Tregovia.