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LTV:CAC Ratio Calculator

Check if customer value is strong enough to support acquisition spend.
Methodology & standardsRuns on your device

Inputs

Results update live
Presets:
Use profit-based LTV if possible for better acquisition decisions.
Average paid cost to acquire one new customer.
Advanced
Premium: used to estimate CAC payback timing.
Advanced
Premium: your minimum acceptable ratio (often 3.0x+).

Scenario workspace

Save scenarios and compare outcomes. Local autosave stays on by default for quick planning.

Free Core: 1 saved scenario per tool.
Local browser save only on this device.

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No saved scenarios yet. Save your current assumptions to compare results over time.

ScenarioPlanLTV:CAC ratioCAC share of LTV
Current sessionFree4.57x21.88%

When to use this tool

  • Before opening a new acquisition channel with uncertain economics.
  • When CAC is rising and you need a quick profitability stress test.
  • During planning cycles to set realistic CAC guardrails.

FAQ

Frequently asked questions

How the calculation works and where its limits are.

What LTV:CAC ratio is usually healthy?

Many ecommerce teams target around 3.0x as a baseline, but acceptable ranges depend on margin and cash flow constraints.

Can a high ratio still be risky?

Yes. If payback is slow, growth can still create cash pressure even with a strong lifetime ratio.

Should ratio targets vary by channel?

Yes. Branded search often supports stronger ratios than colder social traffic, so channel-specific targets are useful.

Related tools

Continue your workflow with the next useful tool.

These links stay within the same decision path so you can move to the next calculation without starting over.

Customer LTV CalculatorEstimate customer lifetime gross profitCustomer Acquisition Cost CalculatorMeasure paid and blended acquisition costROAS CalculatorAssess campaign efficiency from revenue to spendPayback Period CalculatorCheck how quickly acquisition cost is recoveredBreak-Even ROAS CalculatorSet a ROAS floor based on actual margins

How these links are chosen

We only link to closely related pages so each next step supports the same decision.

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