Tools → Calculators

True Customer Value

Calculators

What is a customer worth versus what they cost you? (LTV vs CAC)

What does it mean?

The question that decides any business's fate: does a customer return more than they cost to acquire? Customer value (LTV) = order profit × frequency × customer lifetime. The golden rule: LTV should be 3× your CAC. Below that you grow slowly; below 1×, every new customer deepens the loss. This is where all your numbers close the loop.

Profit per order (SAR)Orders per customer per monthCustomer lifetime (months)Acquisition cost CAC (optional)

Customer value (LTV)

720 SAR

LTV : CAC

12×

Cost payback

1 months

“Customer lifetime” comes from the Retention Calculator — lower churn means a longer lifetime and higher value.

ResultA customer is worth 720 SAR and returns 12× their acquisition cost — a healthy ratio (3×+). You recover your cost within 1 months, and you can confidently spend more on acquisition.

Pin the calculation, then change the numbers and compare the two side by side.

The link carries your numbers — anyone opening it sees the same calculation