Master customer lifetime value with 5 calculation methods, visual journey timelines, and segment analysis
Different methods serve different purposes. Compare all 5 to understand the full picture of customer value.
Simple LTV: Quick estimates and back-of-napkin math
Gross Margin Adjusted: Standard SaaS metric for unit economics
DCF LTV: What investors use (accounts for time value of money)
Historic LTV: Based on actual cohort performance (most conservative)
Expansion-Adjusted LTV: Most accurate - includes upsells & expansion (what you should target)
See how customer value accumulates over time - from acquisition cost to full lifetime value
Key Insight: Your customers become profitable in month 14, reaching full LTV of $12,500 by month 33.
See how expansion revenue (upsells, cross-sells, upgrades) dramatically increases customer lifetime value
Expansion revenue accounts for 26% of your total LTV. Focus on upsell programs, feature adoption, and seat expansion to maximize customer value.
Compare lifetime value across different customer segments to prioritize your go-to-market strategy
Enterprise has 7.1x higher LTV than SMB but 2.6x longer payback. For cash-efficient growth, focus on Mid-Market (balanced LTV and payback). For maximum value, target Enterprise.