AGENT 10 / 11 · RETAIL & E-COMMERCE · DIGITAL COMMERCE & MARKETING OPERATIONS

Customer Lifetime Value (LTV) Predictor

Projects how much a customer is worth over their full relationship with the business, so acquisition and retention spend can be judged against a real number instead of a guess.

READS FROMOrder history, customer master data

MCP SERVERDigital Commerce Server

MODELRouted to reasoning-tier open model

HANDS OFF TORetail Media Network Optimizer, Churn Early Warning System

RUN THE AGENT

Set your cohort assumptions, project LTV

Adjust order value, frequency, margin and churn and the agent recalculates predicted lifetime value and LTV:CAC instantly.

ASSUMPTIONS

Average order value (£) 65

Purchase frequency (orders/year) 4

Gross margin 45%

Annual churn rate 25%

Customer acquisition cost (£) 40

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Predicted LTV

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Expected customer lifespan

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LTV : CAC ratio

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CAC payback period

Metric	Value

HOW IT WORKS

What the agent actually does

1. Pull history	Reads order value, frequency and margin per customer segment from order and customer master data.
2. Estimate lifespan	Converts the segment's churn rate into an expected relationship length.
3. Project value	Multiplies annual customer profit by expected lifespan to produce LTV, and compares it against acquisition cost.
4. Hand off	Feeds LTV:CAC into the Media Network Optimizer's channel targets, and flags segments with short lifespans to the Churn Early Warning System.