TikTok Customer Lifetime Value (LTV) Calculator
Calculate the total value a customer brings over their lifetime to determine how much you can spend on acquisition.
Calculate Your Customer LTV
Average amount a customer spends per order
How many times a customer buys per month on average
Average number of months a customer stays active
LTV Benchmarks by Business Model
Typical Customer Lifetime Value by industry:
High retention, subscription model
Monthly recurring, moderate churn
Beauty, supplements—high repeat rate
Seasonal, moderate repeat purchases
Lower frequency, durable goods
How to Increase LTV
Increase AOV: Bundle products, offer free shipping thresholds, upsell at checkout
Boost frequency: Create subscription options, send replenishment reminders
Improve retention: Build loyalty program, exclusive member perks, VIP tiers
Reduce churn: Proactive customer service, address issues before cancellation
Post-purchase marketing: Email sequences, SMS for repeat purchases
Cross-sell: Recommend complementary products based on purchase history
Community building: Create Facebook group or Discord for brand superfans
Quality focus: Better products = happier customers = more referrals + repeat buys
The Power of Small LTV Increases
Small improvements compound dramatically:
Scenario: Current LTV = $300
Impact: A 55% LTV increase means you can now spend $155 on CAC instead of $100—outbidding competitors and scaling faster.
LTV Optimization Strategy
Focus on the right lever for your business:
If AOV is Low (<$50)
Priority: Bundle products, set free shipping minimum ($75+), suggest add-ons at checkout. Even a $10 AOV increase from $40 to $50 = 25% more revenue per customer.
If Purchase Frequency is Low (<1/month)
Priority: Create a subscription option, send "restock reminder" emails at expected replenishment time, build email nurture sequences. Getting customers to buy every 3 weeks instead of 4 = 33% LTV boost.
If Retention is Low (<12 months)
Priority: Survey churned customers, improve product quality, create loyalty rewards, follow up at 30/60/90 days. Extending lifespan from 12 to 18 months = 50% LTV increase.