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HVAC

HVAC Customer Lifetime Value Calculator

Estimate what one HVAC customer is worth across the whole relationship (service, maintenance and the eventual replacement) so you know what winning and keeping one is actually worth.

Your numbers

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Result

Lifetime revenue $8,556
Lifetime gross profit $3,594
Return on acquisition cost 11.6×
Average revenue per year $950.72
Across 9 years this customer is worth roughly $8,556, $4,851 in service calls, $765.45 in maintenance plan revenue and $2,940 from the 35% chance they replace with you. At a 42% margin that is $3,594 of gross profit, or 11.6× the acquisition cost of winning them. Note that the single replacement accounts for 34.36% of the whole relationship.

Every input here is an estimate and the output inherits all of that uncertainty. Treat it as a way of comparing decisions, not as a forecast. The replacement figure is the one that moves it most and the one hardest to know, because whether a customer replaces with you depends mostly on whether they still remember you when the system fails. That is what maintenance plans and follow-up actually buy.

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Questions

About this calculator

Why does the replacement dominate the number?

Because it is a five-figure job against a few hundred dollars a visit. It also explains why retention matters more than most contractors price it: losing a customer in year four means losing a replacement in year nine that you have already paid to acquire.

What should I use for the chance they replace with you?

Your own history if you have it, how many of last year's replacements were existing customers. If you cannot answer that, it is worth finding out before you spend anything more on acquisition.

How does this change what I spend on marketing?

It sets the ceiling. If a customer is worth several thousand in gross profit over the relationship, an acquisition cost that looks alarming against a single first job may still be sound. Provided you keep them, which is a follow-up problem rather than a marketing one.

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See a real customer record

The CRM demo shows lifetime revenue, every property, every system and the next opportunity on one screen. The view this calculator is estimating.