What is customer lifetime value for a DTC brand?
Short answer: LTV varies by category — $120-$400 for consumables, $200-$1,500 for subscription, $500-$3,000+ for high-AOV/luxury.
Full answer
DTC LTV depends on AOV, frequency, and retention. Approximate bands:
Single-purchase / low-frequency (jewelry, home goods): $150-$500 LTV. Driven by AOV; LTV-to-CAC depends on acquisition efficiency.
Replenishment / consumable (skincare, supplements, beauty): $120-$400 LTV from 2-4 repeat purchases per year.
Subscription DTC (food, beauty, supplements): $200-$1,500 LTV depending on retention curve and AOV.
Luxury / high-AOV DTC: $500-$3,000+ from low-frequency but high-AOV purchases.
The biggest LTV lever in every category: first-to-second purchase nurture. A brand that lifts F2S from 25% to 35% lifts LTV ~40% — typically 2-3x what acquisition optimisation delivers.