SSkuMath

Subscription LTV Calculator

What is the lifetime value of a subscriber after margin and churn?

Your numbers

Result

Subscriber LTV
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    How this is calculated

    LTV tells you the most you can spend to acquire a subscriber. This calculator uses ARPU, gross margin and monthly churn to estimate lifetime value and the LTV:CAC ratio against your acquisition cost.

    1. LTV = ARPU x margin% / churn%
    2. LTV:CAC = LTV / CAC

    What to make of the number

    Aim for LTV:CAC of at least 3x; most investors want 3-5x.

    Frequently asked questions

    Why margin not revenue?
    You pay to serve the customer; LTV must use contribution margin to be honest.

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