💰Interactive Tool
Customer LTV Calculator
Calculate Customer Lifetime Value from your ARPU, gross margin, and churn rate. Understand how much revenue each customer generates over their lifetime.
LTV Formula
ARPU×Gross Margin×1 / Churn Rate=LTV
ARPU: Average Revenue Per User per month
Gross Margin: Revenue minus cost of goods sold (%)
Churn Rate: % of customers lost per month
Your Numbers
per user per month
10%95%
0.5%20%
Customer Lifetime Value
$700
Average LTV
Avg. Customer Lifespan
20.0 months
(1.7 years)
Monthly ARPU
$50
Annual Churn
60%
approx. annualized
SaaS LTV Benchmarks
$10K+
Enterprise SaaS — Long contracts, low churn, high ARPU
$5K-$10K
Mid-market SaaS — Strong unit economics, sustainable growth
$1K-$5K
SMB SaaS — Typical for self-serve SaaS products
Under $1K
Consumer / Freemium — Focus on reducing churn to increase LTV
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