---
title: "Customer Lifetime Value Calculator | NZ Business Alliance"
description: "What is a customer worth to your business over time? Find out how much you can afford to spend to win each new one."
source: https://alliance.org.nz/tools/customer-lifetime-value-calculator/
---

[Free tools](https://alliance.org.nz/tools/)

# Customer Lifetime Value Calculator

Customer lifetime value tells you what a customer is worth to your business over time. It sets how much you can afford to spend to acquire a new one.

Profit lifetime value = lifetime value × gross margin. The maximum spend to acquire is your customer acquisition cost ceiling. Most businesses keep it at 10–30% of lifetime value.