LTV
Lifetime Value
The estimated economic value a customer generates over the relationship.
Plain English
How much one customer is expected to be worth in total.
In context
LTV models revenue or margin over customer lifetime and depends heavily on retention and discount assumptions.
Example
“The current LTV does not justify this acquisition cost.”
When you'll hear this
- growth strategy
- pricing
- budget planning
Common misunderstanding
LTV is an estimate rather than cash already earned.
Also known as
customer lifetime valueCLV
Commonly used by
Related terms
Often compared with
Updated: 2026-08-25
