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SaaS Churn Rate & LTV Calculator

Calculate your monthly churn rate, customer lifetime, and Lifetime Value (LTV) to optimize your subscription business growth.

Your Performance Analysis

Churn Rate
0%
Avg. Lifetime
0 Mo
Customer LTV
$0

How to Use the SaaS Churn and LTV Calculator

Understanding your SaaS metrics is vital for sustainable growth. This calculator helps you determine how much revenue a customer generates over their entire relationship with your company (LTV) and how quickly you are losing customers (Churn).

Key Metrics Explained

  • Churn Rate: The percentage of your customers who cancel their subscriptions within a given timeframe. High churn often indicates issues with product-market fit or customer success.
  • Customer Lifetime: The average duration a customer remains subscribed. It is calculated as the inverse of your churn rate (1 / Churn).
  • Lifetime Value (LTV): The total predicted revenue a customer will generate during their lifetime with your software. This helps you determine your maximum Customer Acquisition Cost (CAC).

Example Calculation

Suppose your SaaS company starts the month with 500 customers. During that month, 10 customers cancel their plans, and your average subscription price (ARPU) is $100 per month.

Churn Rate: (10 / 500) = 2%
Customer Lifetime: 1 / 0.02 = 50 Months
LTV: 50 Months × $100 = $5,000

In this scenario, you can afford to spend significantly more on marketing if your LTV is $5,000 compared to a company with a 10% churn rate ($1,000 LTV).

function calculateSaaSMetrics() { var startCustomers = parseFloat(document.getElementById('startCustomers').value); var lostCustomers = parseFloat(document.getElementById('lostCustomers').value); var arpu = parseFloat(document.getElementById('arpu').value); var displayContainer = document.getElementById('resultsContainer'); var resChurn = document.getElementById('resChurn'); var resLifetime = document.getElementById('resLifetime'); var resLTV = document.getElementById('resLTV'); if (isNaN(startCustomers) || isNaN(lostCustomers) || isNaN(arpu) || startCustomers 0) { lifetime = 1 / churnRate; ltv = lifetime * arpu; } else { // Edge case: 0 churn means infinite lifetime in theory lifetime = 0; ltv = 0; } // Display results displayContainer.style.display = 'block'; resChurn.innerHTML = churnPercent + '%'; if (churnRate > 0) { resLifetime.innerHTML = lifetime.toFixed(1) + ' Mo'; resLTV.innerHTML = '$' + ltv.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2}); } else { resLifetime.innerHTML = '∞'; resLTV.innerHTML = 'N/A (0 Churn)'; } }

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