How to Use the Full CLV Calculator
You only need to enter four numbers – please only type over the numbers in the white cells – the numbers in the orange cells are automatically calculated for you.
To calculate the customer lifetime value, you will need to enter:
- Average customer acquisition costs
- Average customer profit contribution per year
- Average annual customer retention rate
- An appropriate discount rate (normally in the range of 10%-20%)
Interpreting the CLV Output
Please refer to the article on CLV and financial metrics available on this website.
If you do NOT want to use a discount rate, then please use the Quick CLV calculator.
If you have changing profit contributions and/or retention rates over time, then please download the free Excel template for customer lifetime value.