Customer Lifetime Value Calculator (CLV)
CLV Inputs
Average Selling Price
(annual in $)
[1]
Average Gross Margin on Sale [2]
Average number of years a customer is retained [3]
Upsell potential in future years [4]
Discount Rate (future money is worth less than money today) [5]
Customer Lifetime Value (CLV)
Notes
[1] Note that this is an annual Average Selling Price per customer.
[2] Your gross margin, excluding fixed and overhead expenses.
[3] The number of years of your typical customer engagement.
[4] This is an estimate of how much you could upsell your customers each year of your relationship.
[5] If you're not sure, use 15% as a good starting point.
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