Marketing Metrics Every Business Should Track
The handful of marketing numbers that actually matter — conversion rate, CPC, ROAS, CAC, lifetime value and churn — what they mean, how they fit together, and which to ignore.
Customer Lifetime Value Calculator
Verified formula Updated Jun 2026 Private — runs on your device
Verified formula
Private
Customer lifetime value
₹24,000
- Annual value per customer
- ₹8,000
For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.
How to use the Customer Lifetime Value Calculator
The Customer Lifetime Value Calculator works out your customer lifetime value, along with 1 related figure in an instant. Enter average purchase value, purchases per year and customer lifespan (years) and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.
- Enter the average purchase value.
- Enter the purchases per year.
- Enter the customer lifespan (years).
- Read off your customer lifetime value, together with annual value per customer — the calculator updates automatically, with no button to press.
Formula
The Customer Lifetime Value Calculator uses the formula:
Customer lifetime value = Average purchase value × Purchases per year × Customer lifespan (years)
Worked example
For example, with average purchase value of ₹2,000, purchases per year of 4 and customer lifespan (years) of 3, the customer lifetime value is ₹24,000.
| Average purchase value | ₹2,000 |
|---|---|
| Purchases per year | 4 |
| Customer lifespan (years) | 3 |
| Customer lifetime value | ₹24,000 |
|---|---|
| Annual value per customer | ₹8,000 |
Results are estimates for educational use, not professional advice.
Key terms explained
- Mean
- The average of a set of numbers — their sum divided by how many there are.
- Customer lifetime value
- The total revenue a customer is expected to bring over their relationship with a business (CLV).
Frequently asked questions
CLV is the total revenue a customer brings over their relationship with you. At 2,000 per purchase, 4 times a year for 3 years, CLV is 24,000.
It shows how much you can afford to spend acquiring and keeping customers. Compare it with your customer acquisition cost.
This simple version uses revenue. For a sharper figure, multiply by your gross margin to estimate the lifetime profit.
Boost repeat purchases, raise average order value, improve retention and reduce churn so customers stay longer.
The Customer Lifetime Value Calculator uses the formula: Customer lifetime value = Average purchase value × Purchases per year × Customer lifespan (years). For example, with average purchase value of ₹2,000, purchases per year of 4 and customer lifespan (years) of 3, the customer lifetime value is ₹24,000.
Enter the average purchase value. Enter the purchases per year. Enter the customer lifespan (years). Read off your customer lifetime value, together with annual value per customer — the calculator updates automatically, with no button to press.
Related guides
Customer Lifetime Value Table: Customer lifetime value by Average purchase value
Reference table of customer lifetime value for Customer Lifetime Value across a range of average purchase value values — exact, engine-computed figures you can read off at a glance.
How to Calculate Customer Lifetime Value: Formula, Steps & Examples
Learn how to calculate Customer Lifetime Value — the formula explained step by step, with worked examples and a free calculator to check your answer.