What Is One Customer Really Worth?
Most home service contractors undervalue their customers by 3x to 5x. A single HVAC customer is worth $15,000+ over their lifetime when you factor in repeat service, maintenance plans, and referrals. This calculator shows you the real number for your trade.
Know what a customer is worth. Then you know what you can spend to get one.
Calculate Your Customer Lifetime Value
Select your trade to pre-fill industry defaults, then adjust the numbers to match your business.
Know Your Numbers. Grow Your Business.
True Customer Value
Your LTV broken down into first job profit, repeat revenue, and referral value. See exactly where your customer value comes from and where to grow it.
LTV:CAC Health Check
Your LTV-to-acquisition-cost ratio tells you if your marketing is healthy, efficient, or needs attention. We grade it and tell you what it means for your business.
Growth Playbook
Three proven strategies to increase your customer lifetime value: repeat frequency, referral systems, and acquisition cost optimization. Specific to your trade.
Contractors Who Know Their Numbers. And Grow Faster.
“First year in business and we went from 1-2 calls a month to multiple leads every single day. Over 200 five-star reviews. Watson & Co. built this from the ground up.”
Justin W.
Owner, TreesRX, Tree Services
“Top SEO rankings across Central Florida and Google Ads generating over 20 calls a month. Our schedule stays full because of Watson & Co.”
Matt S.
JMT Cabinets, Cabinet Refacing & Installation
“60+ remodeling leads every month. Consistent, daily lead flow. If you're serious about growing, these are your people.”
Mike A.
Owner, Amoroso Remodels, Remodeling Contractor
Straight Answers. No Runaround.
What is customer lifetime value and why does it matter?
Customer lifetime value (LTV) is the total profit a single customer generates over their entire relationship with your business. It includes the first job, all repeat work, and the value of referrals they send you. Knowing your LTV tells you exactly how much you can afford to spend to acquire a new customer and still be profitable.
What is a good LTV:CAC ratio for home service companies?
A healthy LTV:CAC ratio is 3:1 or higher. That means every dollar you spend acquiring a customer generates at least 3 dollars in lifetime profit. Above 5:1 is excellent. Below 3:1 means you are spending too much to acquire customers relative to what they are worth, and you need to either increase LTV or reduce acquisition cost.
How do I increase my customer lifetime value?
Three ways: increase repeat frequency (maintenance plans, seasonal reminders, automated follow-ups), build a referral engine (ask for referrals post-job, offer incentives, follow up at 30 days), and improve margins on repeat work. Most contractors can increase LTV by 20-40% by implementing maintenance agreements alone.
Is this LTV calculator accurate?
The industry defaults come from real data across thousands of home service companies from ServiceTitan, BrightLocal, and industry surveys. Your actual LTV depends on your customer retention, service quality, and follow-up systems. The calculator gives you a solid baseline. Adjust the inputs to match your real numbers for the most accurate result.
How much should I spend to acquire a customer?
A safe rule: spend no more than one-third of your customer's lifetime value on acquisition. If your LTV is $15,000, you can afford up to $5,000 to acquire that customer. Most home service companies should aim for a CPA between $100 and $400 depending on the trade. The calculator shows you your max acquisition cost.
How does Watson & Co. help increase LTV?
We build marketing systems that bring in higher-quality leads who close at higher rates and stay longer. We set up automated email sequences for repeat business, reputation management for referrals, and targeted ads to reduce your cost per acquisition. The result: higher LTV, lower CPA, and more profit per customer.