What is a good LTV to CAC ratio for a subscription box?

A standard benchmark for a healthy subscription business is an LTV:CAC ratio of 3:1. This means the customer lifetime value is three times the cost to acquire them. Anything below 1:1 means you are losing money on every new customer.

How does churn affect profitability?

Churn is the percentage of subscribers who cancel each month. High churn drastically lowers the Customer Lifetime Value (LTV), meaning you have less time to recoup your acquisition costs and generate profit.

MRR stands for Monthly Recurring Revenue. It is the predictable total revenue generated by your active subscribers every single month.

Subscription Box Profit Calculator - Free Smart Calculators & AI Tools

Subscription Box Profit Calculator | MRR, LTV & Churn

📊 Recurring Revenue Engine

Monthly Subscription Price

Cost of Goods Sold (Per Box)

Shipping & Fulfillment (Per Box)

Customer Acquisition Cost (CAC)

Active Subscribers

Monthly Churn Rate (%)

Monthly Recurring Revenue (MRR)

LTV to CAC Ratio

0.0x

Customer Lifetime Value (LTV)

Per Box Revenue Breakdown

COGS

Shipping

Gross Profit

CAC vs Lifetime Value (LTV)

CAC

LTV

Business Metric	Calculated Amount
Gross Profit Per Box	$0
Total Monthly Gross Profit	$0
Avg Customer Lifespan (Months)	0
Breakeven Point (Months)	0

✨ AI Quick Verdict

Calculating subscription viability…

About the Subscription Profit Engine

Running a successful subscription box requires mastery of two key metrics: Churn and the LTV:CAC Ratio. If your churn rate is too high, customers cancel before paying back the money you spent to acquire them (CAC).

A healthy subscription business targets an LTV to CAC ratio of at least 3:1, meaning a customer brings in three times the profit it cost to acquire them. The “Breakeven Point” calculation shows exactly how many months a subscriber must stay active just to cover their initial marketing cost.

Mobile Sticky Ad (320×50)

🎁 Subscription Box Profit

About the Subscription Profit Engine