LTV (Lifetime Value)
The total profit a customer generates over the whole relationship. Repeat purchases, renewals, referrals included.
Free · no signup · last reviewed August 29, 2026
The definition
The total profit a customer generates over the whole relationship. Repeat purchases, renewals, referrals included.
Why it matters to an owner
LTV is what makes competitors' bids make sense: whoever profitably pays the most per customer wins the auction.
Keep going
LTV : CAC CalculatorWhat a customer is really worth over the whole relationship, against what one costs to acq…CPA (Cost Per Acquisition)Total spend divided by new customers won. Leads that actually closed. Deeper than CPL beca…ROAS (Return On Ad Spend)Revenue attributed to ads divided by ad spend. A ROAS of 4 means $4 back per $1 spent. Bef…
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