CLTV/CAC Ratio
The CLTV/CAC ratio compares lifetime value to acquisition cost. Healthy SaaS often targets ≥ 3x. Formula: CLTV/CAC = Customer lifetime value ÷ Customer acquisition cost.
Inputs
Enter CLTV and CAC, or copy LTV from the LTV tool.
Summary
Value generated per $1 of acquisition spend.
CLTV/CAC
3.20x
CLTV
$400.00
CAC
$125.00
Interpretation
- ≥ 3x is commonly cited as efficient growth.
- 1–3x suggests tighter unit economics; revisit pricing or efficiency.
- < 1x indicates value is less than cost—unsustainable without change.
Tips
- Use gross‑margin adjusted LTV for accurate comparisons.
- Segment by channel and cohort to spot differences in efficiency.