Step 1 - Average Order Value (AOV)


Don't include currency symbol
Total number of orders placed on your site.

$

The average amount of money spent on your site with each new order.

Step 2 - Purchase Frequency (f)


Total number of orders placed on your site.
Total number of unique customers that made an order.

The average number of times a customer makes a purchase from your store in a given time period.

Step 3 - Customer Value (CV)


Enter the calculated Average Order Value.
Enter the calculated Purchase Frequency.

$

The value of a customer during a given time period.

Step 4 - Customer’s Average Lifespan


It is hard to calculate this accurately. It is easy to assume 1 month to 3 years to be a reasonable timespan.

CAL refers to the time between a customer’s first and last purchase.

The Customer Lifetime Value


Enter the calculated Customer Value.
Enter the calculated Average Store Lifespan.

$

The metric represents the total net profit a company makes from any given customer.
Consultation

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