SaaS LTV:CAC benchmarks
The 3:1 LTV:CAC rule is folklore. The real distribution is wider — early-stage SaaS often sits at 1.5:1 with a payback under 9 months and grows into healthier ratios. Below are live medians from RevenueLab users, with the inter-quartile range so you can position yourself honestly.
Last updated: 2026-05-15 · Source: RevenueLab community benchmarks · Methodology
| Metric | Median | P25 – P75 | N |
|---|---|---|---|
| LTV:CAC ratioHigher = more efficient growth | 3.0:1 | — | — |
| Lifetime value (LTV) | $1,800 | — | — |
| Customer acquisition cost (CAC) | $600 | — | — |
| Monthly recurring revenue (MRR) | $12,000 | — | — |
Run the numbers yourself
Plug your own assumptions into the underlying calculator and compare against the medians above.
Open LTV:CAC CalculatorMethodology
Medians + inter-quartile ranges across all RevenueLab calculator submissions where the relevant metric was provided. N≥3 required. LTV is computed using ARPU × Gross Margin × 1/Churn; CAC is total S&M divided by new customers. Static fallbacks shown until live data accrues.
Frequently asked
Is 3:1 LTV:CAC really the right target?
It's a rough sanity check, not a target. PLG SaaS with very low CAC can run 8:1+; sales-led enterprise with high ACV can be healthy at 2:1 with a 12-month payback. Look at payback period and gross margin together with the ratio.
What's a healthy CAC payback period?
Under 12 months for most SaaS, under 6 months for PLG, under 18–24 months for enterprise. Anything longer puts you at the mercy of capital markets.
Should I use gross or net LTV?
Gross-margin-adjusted LTV is the only honest version. Top-line LTV makes everything look healthier than it is.
Related definitions
Cite this stat page
When you quote these numbers, please link back so this dataset stays free to maintain.
RevenueLab. (2026). SaaS LTV:CAC benchmarks. Retrieved 2026-05-15 from https://www.revenuelab.fyi/stats/saas-ltv-cac