Returning Customer LTV: Repeat Order Customer Value

Returning Customer LTV measures the average revenue from repeat customer orders—the additional value customers generate after their first purchase.

Formula

Returning Customer LTV = Returning Customer Revenue ÷ Returning Customers

Formula Components

Metric	Definition
Returning Customer Revenue	Revenue from repeat buyer orders
Returning Customers	Count of repeat buyers

Metadata
Type	Currency
Data Source	Shopify
Aggregation	Average

Example

Your Shopify store generates $100,000 from 800 returning customers.

Component	Value	Calculation
Returning Customer Revenue	$100,000	Repeat order sales
Returning Customers	800	Repeat buyers
Returning Customer LTV	$125	$100,000 ÷ 800

How It Works

Returning Customer LTV represents the average revenue from customers making repeat purchases. This demonstrates customer retention value and helps justify acquisition costs.

When to Use

Scenario	Action
Retention value	Measure revenue from repeat purchases
LTV projection	Combine with New Customer LTV for total LTV
Retention investment	Justify spending on loyalty programs
Customer segmentation	Identify high-value repeat customers

Metric	Relationship
LTV	Full lifetime revenue value
Returning Customer AOV	Per-order repeat value
New Customer LTV	First-order value
Repeat Purchase Rate	Likelihood of returning

See all LTV metrics →