How to use this calculator
- Enter average revenue per active player-month.
- Apply the gross margin retained after variable content or platform costs.
- Enter cohort-based monthly retention.
- Subtract monthly service cost and review contribution LTV.
Project contribution-based player lifetime value for a guild program. Combine average monthly revenue, gross margin, monthly retention, and service cost to estimate expected active months, lifetime revenue, contribution LTV, and an acquisition-cost ceiling. This compact model is useful for scenario planning when cohort history is still limited.
The result estimates contribution generated by an average player in the guild community before acquisition spending and fixed company overhead.
This geometric retention model assumes the same retention rate each month and does not discount future cash flows.
At $18 monthly revenue, 75% margin, 80% retention, and $2 monthly service cost, expected life is 5 months. Lifetime revenue is $90 and contribution LTV is $57.50.
At 100%, the constant geometric model implies an infinite lifetime, so a finite forecast cannot be calculated.
No. This calculator applies gross margin and service cost to estimate contribution rather than gross bookings alone.
No. The result is a ceiling before acquisition cost; subtract actual acquisition cost to estimate net contribution.
Only as an approximation when the measurement windows and cohort definitions are compatible.
No. It is an undiscounted planning model; long player lifetimes may warrant a discounted cash-flow approach.
| Input | Applied as |
|---|---|
| Monthly revenue | Average per active player-month |
| Gross margin | Share retained after variable revenue costs |
| Retention | Constant month-to-month survival rate |
| Service cost | Variable monthly support and hosting cost |