User Rating 0.0 ★★★★★

Total Usage 1 times

Category Business Trade

Data Input

Total Monthly Revenue ($)

Total Sales/Marketing Cost ($)

Total Active Customers (Start of Month)

New Customers Acquired (This Month)

Customers Lost (This Month)

Business Type

Performance Dashboard

Monthly Recurring Revenue (MRR)

Churn Rate

Benchmark: 3-5%

Avg Revenue Per User (ARPU)

Cust. Acquisition Cost (CAC)

Target: < LTV/3

Lifetime Value (LTV)

LTV : CAC Ratio
-
Target: > 3.0

Click Calculate to see analysis.

Is this tool helpful?

Your feedback helps us improve.

★ ★ ★ ★ ★

About

In the subscription economy and digital business world, tracking the right Key Performance Indicators (KPIs) is the difference between sustainable growth and sudden failure. Metrics like Customer Acquisition Cost (CAC) and Lifetime Value (LTV) tell you exactly how much you can afford to spend on marketing and how healthy your long-term retention is.

However, a number in isolation is meaningless. Knowing your Churn Rate is 5% is only useful if you know that the industry average is 3%. This tool calculates your core business metrics and instantly contextualizes them against standard benchmarks for SaaS (Software as a Service), E-commerce, and Service Agencies, helping you identify bottlenecks in your funnel immediately.

Formulas

Core formulas used in this calculator:

Churn = C_lostC_total × 100

LTV = ARPUChurn_%

Ratio = LTVCAC

Reference Data

Metric	Definition	Healthy SaaS Benchmark	Formula Logic
MRR	Monthly Recurring Revenue	Growth > 15% YoY	Users × Avg Fee
Churn Rate	% of customers lost per month	< 3% (B2B), < 5% (B2C)	(Lost / Total) × 100
CAC	Customer Acquisition Cost	Recovered in < 12 months	Sales & Marketing / New Cust.
LTV	Lifetime Value	> 3x CAC	ARPU / Churn Rate
ARPU	Avg Revenue Per User	Varies by Tier	MRR / Total Users
LTV:CAC	Ratio of Value to Cost	3:1 or higher	LTV / CAC
Gross Margin	Revenue minus COGS	> 80% (SaaS)	(Rev - COGS) / Rev
Burn Rate	Cash spend per month	Depends on Runway	Expense - Income

Frequently Asked Questions

The golden standard in the SaaS industry is 3:1. This means you make three times as much revenue from a customer as you spent to acquire them. A ratio of 1:1 implies you are losing money (after operating costs), while 5:1 might mean you are under-spending on growth.

The simplest method is to take the number of customers who cancelled during the month and divide it by the total customers you had at the START of that month. Do not include new sales from the current month in the denominator for churn calculation.

Yes, but the benchmarks differ. E-commerce LTV is calculated based on Repeat Purchase Rate and Average Order Value rather than recurring subscriptions, and 'Churn' is harder to define (usually defined as no purchase in X months).

Average Revenue Per User (ARPU) indicates how well you are monetizing your base. Increasing ARPU is often more cost-effective than acquiring new users (lowering CAC).