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What do repeat customers contribute?

Explore gross-margin lifetime value under a constant monthly churn assumption.

Example scenario

Editable demonstration inputs, not verified industry benchmarks. Enable JavaScript to calculate your own scenario.

Monthly revenue per customer
$500
Gross margin
40 %
Monthly customer churn
3 %
Acquisition cost per customer
$1,500
Gross-profit lifetime value$6,667

Example result only, not a forecast or promise.

Expected lifetime
33.3 months
LTV / CAC
4.4×
LTV less acquisition cost
$5,167

What to do with this result

Compare contribution by customer cohort and rerun the model with a shorter customer lifetime before increasing acquisition spend.

Know what is inside the model.

Planning model, not personalized financial advice. Your inputs remain in your browser.

Calculation method

Expected lifetime months = 1 / monthly churn. Gross-profit LTV = monthly revenue × gross margin / monthly churn.

Assumptions and limitations

  • Simple steady-state model: constant churn, revenue, and margin.
  • No discounting, expansion, cohort changes, or fixed overhead. Do not use for irregular nonrecurring sales.

Turn the number into a decision.

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