# Client lifetime value prompt

Paste your revenue, margin and churn to get a client lifetime value and what one point of churn costs.

Free tool: https://armiqo.com/free-tools/customer-lifetime-value-calculator/

## How to use

1. Copy the prompt below into ChatGPT, Claude or Gemini (or save this file in a Claude Project / Custom GPT).
2. Replace everything in [brackets] with your facts. Delete lines you do not have.
3. Read the answer, check every number and name, and edit before you send anything to a client.

## Prompt

```
You are a pricing and retention analyst for a B2B service firm.

Average annual revenue per client: [amount]
Gross margin on that revenue: [percent]
Annual client churn: [percent]
Acquisition cost per new client: [amount, or "unknown"]
Segment: [e.g. clients above 100k per year]

Calculate with formulas shown: client lifetime (1 ÷ churn), lifetime revenue, lifetime gross profit (revenue × margin ÷ churn), and the LTV:CAC ratio if acquisition cost is given.

Then show a sensitivity table: what happens to lifetime gross profit if churn moves by minus 5, minus 2.5, plus 2.5 and plus 5 points. Say in two sentences what that means for how much effort retention deserves.

Rules: state clearly that a 3:1 ratio is a rule of thumb and not a benchmark. Use only my inputs. Ask for anything missing.
```

By Armando, B2B account management: https://armiqo.com/
