LTV:CAC calculator

Enter your own numbers, everything runs in your browser, nothing is sent anywhere. This uses the same blended-CAC and break-even-ROAS definitions we use internally, not a generic textbook formula.

Customer value

Average order value

Gross margin

Revenue minus cost of goods, before marketing spendAverage orders per customer, lifetime

Total repeat purchases you'd expect from one customer over their full relationship with you

Acquisition cost

Total marketing spend

For the period you're measuringNew customers acquired

In that same period

Lifetime value (LTV)

£99

Acquisition cost (CAC)

£67

LTV:CAC ratio

1.5:1

1:1 to 3:1 — marginal, worth investigating

You're profitable per customer but not by much once you account for overhead beyond acquisition. The widely-cited 3:1 benchmark exists because most businesses need that margin of safety for fixed costs, refunds, and payback timing.

Break-even ROAS

1.82x is the return on ad spend where you cover your cost of goods but make nothing toward acquisition cost or overhead. Everything above this is what actually funds growth.

Payback period

2.0 orders' worth of contribution margin needed before a new customer has paid back what it cost to acquire them.

Want this run on your real, connected account data instead of self-reported numbers? Connect your account for the full diagnosis.

← Read the methodology behind these numbers