Average client lifetime value (LTV) is the total revenue one average client brings in over their whole time with your gym: every membership payment, class pack, and retail purchase added together.
The quick formula is average monthly revenue per client × average months a client stays. Some software calculates it for you; the tabs below show where to find it in each one.
This number matters because it decides what you can afford to spend to win one new client. If you do not know it, every marketing price you are quoted is a guess you cannot check.
Where to find it in your software
Pick the software your gym runs on. Each option links to the vendor's own help article.
WellnessLiving
WellnessLiving has the number built in.
- Open the App Drawer, then View All > Reports > Clients > Visit Milestones & Lifetime Value.
- Read the summary cards at the top. Average Lifetime Value is the average total revenue each paying client has brought in since they first became a client. Clients who never bought anything are not counted.
- The same cards give you Average Monthly Spend (average revenue per client per month) and Average Lifetime Visits (average visits over a client's whole time with you), so you can see the parts the total is made of.
Mindbody
Mindbody does not have a single lifetime value report. You get there from two reports, and multiply.
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Run the Average Revenue Analysis report: Insights > Reports > Sales > Average Revenue Analysis. It shows the average revenue each pricing option generated over the past 12 months, including average revenue per visit.
Timing
Generating the report updates it to the current date, so run it when you are ready to read it.
- Run the Retention report to estimate how long clients stay. It shows how many clients whose first visit fell in a date range came back within a set number of days.
- LTV = average revenue per client per month × months the average client stays.
TeamUp
TeamUp's own method is a CSV export plus a pivot table.
- Go to Reports > Revenue > Invoices.
- Change Any time to Custom and pick your date range (a full year is a good default).
- Click Download CSV and open the file in Excel.
- Insert a Pivot Chart. Drag Customer into Rows and Total into Values, then set the Total field to Sum. That gives you total spend per customer.
- Average those totals across customers for your average lifetime value. Divide by the months in your range to get the monthly figure.
Wodify
Wodify's Insights dashboards give you the two halves of the formula.
- Go to Analytics > Insights, then the Business Health section.
- Find Length of Engagement (LEG): Wodify's measure of how long clients stay with you, in months.
- Find Net Revenue for the same period, and your active client count (the Clients insight in the same dashboard).
- LTV = (net revenue / active clients per month) × LEG in months.
Something else
For any other software, or none:
- Total up the last 12 months of revenue and divide by the number of clients who paid anything in that period. That is average revenue per client per year.
- Estimate how long the average client stays, in years. If you are not sure, even a rough figure (one year? two?) beats no figure.
- Multiply the two. That is your average client lifetime value.
Search your software's help site for "lifetime value" or "retention report". If a report doc exists, using it beats estimating.
Once you know the LTV, you can sanity-check any marketing cost: what you pay to get one new client should be well under what one client is worth.
Still stuck, or your software is not listed? Text or email Matt with which software you are on.