LTV 365: Full-Year Customer Lifetime Value

Average revenue generated per customer within 365 days (1 year) of their first purchase—the standard full-year LTV benchmark.

Formula

LTV 365 = Total Revenue (365d Window) ÷ Customer Count

Formula Components

Metric	Definition
Total Revenue	Sum of order revenue within 365 days of first purchase
Customer Count	Number of unique customers in the cohort who made their first purchase during the selected period

Metadata
Type	Currency
Data Source	Shopify
Aggregation	Average

Example

Your January cohort of 500 new customers generated $175,000 in total revenue within their first 365 days:

Cohort	Customers	Revenue (365d)	LTV 365
January	500	$175,000	$350.00
February	450	$144,000	$320.00
March	525	$199,500	$380.00

If your average CAC is $75, the January cohort’s full-year LTV:CAC ratio is 4.7×—indicating strong acquisition economics with annual payback.

How It Works

LTV 365 calculates the average revenue per customer over their first full year. Customers are grouped by first purchase date (cohort), and their cumulative spending is tracked for 365 days. This provides the industry-standard timeframe to compare customer value across acquisition channels, campaigns, and seasons.

When to Use

Scenario	Action
Annual acquisition benchmarking	Compare full-year LTV across Meta, Google, TikTok, and organic to identify highest-value sources
Setting annual CAC targets	Use LTV 365 to determine sustainable acquisition costs with 12-month payback expectations
Measuring retention program ROI	Track how loyalty and subscription programs affect long-term customer value
Forecasting annual revenue	Project year-over-year revenue from recent cohorts using historical LTV 365 data

Metric	Relationship
LTV 180	6-month mid-term value for faster payback analysis
LTV 120	4-month window for quarterly payback assessment
LTV 90	90-day short-term value for quick acquisition evaluation
LTV	All-time lifetime value without time cap
LTV:CAC	Ratio of customer value to acquisition cost

See all LTV metrics →

LTV 180d CLV 30

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​Formula

​Formula Components

​Example

​How It Works

​When to Use

​Related Metrics

Formula

Formula Components

Example

How It Works

When to Use

Related Metrics