LTD vs Subscription Revenue Calculator
Compare lifetime deal revenue against monthly subscription revenue over time. See exactly when recurring subscriptions overtake one-time LTD sales.
LTD vs Subscription Inputs
Subscriptions Overtake LTDs
Month 5
Subscription revenue surpasses LTD revenue at month 5
Total LTD Revenue
$19,900
Cumulative Sub Revenue
$82,538
after 36 months
Break-even Month
Month 5
Revenue Difference
+$62,638
sub vs LTD at end
Cumulative Revenue Comparison
Month-by-Month Comparison
| Month | LTD Total | Sub Monthly | Sub Cumulative | Difference |
|---|---|---|---|---|
| 1 | $19,900 | $4,900 | $4,900 | -$15,000 |
| 2 | $19,900 | $4,655 | $9,555 | -$10,345 |
| 3 | $19,900 | $4,422 | $13,977 | -$5,923 |
| 4 | $19,900 | $4,201 | $18,178 | -$1,722 |
| 5 | $19,900 | $3,991 | $22,169 | +$2,269 |
| 6 | $19,900 | $3,792 | $25,961 | +$6,061 |
| 7 | $19,900 | $3,602 | $29,563 | +$9,663 |
| 8 | $19,900 | $3,422 | $32,985 | +$13,085 |
| 9 | $19,900 | $3,251 | $36,236 | +$16,336 |
| 10 | $19,900 | $3,088 | $39,324 | +$19,424 |
| 11 | $19,900 | $2,934 | $42,258 | +$22,358 |
| 12 | $19,900 | $2,787 | $45,045 | +$25,145 |
| 13 | $19,900 | $2,648 | $47,692 | +$27,792 |
| 14 | $19,900 | $2,515 | $50,208 | +$30,308 |
| 15 | $19,900 | $2,390 | $52,597 | +$32,697 |
| 16 | $19,900 | $2,270 | $54,868 | +$34,968 |
| 17 | $19,900 | $2,157 | $57,024 | +$37,124 |
| 18 | $19,900 | $2,049 | $59,073 | +$39,173 |
| 19 | $19,900 | $1,946 | $61,019 | +$41,119 |
| 20 | $19,900 | $1,849 | $62,868 | +$42,968 |
| 21 | $19,900 | $1,757 | $64,625 | +$44,725 |
| 22 | $19,900 | $1,669 | $66,294 | +$46,394 |
| 23 | $19,900 | $1,585 | $67,879 | +$47,979 |
| 24 | $19,900 | $1,506 | $69,385 | +$49,485 |
| 25 | $19,900 | $1,431 | $70,816 | +$50,916 |
| 26 | $19,900 | $1,359 | $72,175 | +$52,275 |
| 27 | $19,900 | $1,291 | $73,466 | +$53,566 |
| 28 | $19,900 | $1,227 | $74,693 | +$54,793 |
| 29 | $19,900 | $1,165 | $75,858 | +$55,958 |
| 30 | $19,900 | $1,107 | $76,965 | +$57,065 |
| 31 | $19,900 | $1,052 | $78,017 | +$58,117 |
| 32 | $19,900 | $999 | $79,016 | +$59,116 |
| 33 | $19,900 | $949 | $79,965 | +$60,065 |
| 34 | $19,900 | $902 | $80,867 | +$60,967 |
| 35 | $19,900 | $857 | $81,724 | +$61,824 |
| 36 | $19,900 | $814 | $82,538 | +$62,638 |
Lifetime deals can fuel early growth but cap long-term revenue. Compare pricing models with our pricing strategy calculator and see how annual vs monthly billing affects your revenue. Learn more about discount tradeoffs in our SaaS discount strategy guide.
How LTD vs Subscription Revenue Is Calculated
Enter Your Pricing
Input your lifetime deal price, number of LTDs sold, and monthly subscription price.
Set Churn Rate
Adjust the monthly churn rate to model how subscriber attrition affects cumulative revenue.
Find the Break-even
See exactly which month subscription revenue overtakes LTD revenue and by how much.
Revenue Comparison Formulas
Total LTD Revenue:
LTD Revenue = LTD Price x Number of LTDs SoldMonthly Subscription Revenue:
Monthly Sub Revenue = Active Subscribers x Monthly PriceSubscriber Decay (with churn):
Active Subscribers(month N) = Initial Customers x (1 - Churn Rate)^NExample: 100 LTDs at $199 vs $49/mo Subscriptions
A SaaS company sells 100 lifetime deals at $199 each. Alternatively, those same 100 customers could pay $49/month with 5% monthly churn:
36-Month Comparison
Even with 5% monthly churn, subscriptions generate comparable cumulative revenue to LTDs within the first year and continue generating revenue indefinitely. Use our churn revenue impact calculator to model how churn affects your subscription revenue over time.
Who This Calculator Is For
SaaS Founders
Decide whether to run a lifetime deal campaign or focus on subscription growth. Quantify the long-term revenue tradeoff before committing.
Pricing Strategists
Model different LTD price points and subscription tiers to find the optimal balance between upfront cash and recurring revenue.
Investors
Evaluate whether a company's LTD-heavy revenue model is sustainable or if it masks weak subscription economics.
Frequently Asked Questions
When do subscription customers become more valuable than lifetime deal buyers?
It depends on your LTD price, monthly subscription price, and churn rate. With a $199 LTD and $49/mo subscription at 5% churn, subscriptions overtake LTD revenue around month 5. Lower churn rates accelerate the crossover point. Use our pricing strategy calculator to optimize your pricing tiers.
What churn rate makes lifetime deals a better choice?
When monthly churn exceeds roughly 10-15%, the subscriber base erodes so quickly that LTD revenue can remain higher over a 36-month period. At very high churn rates, the upfront cash from LTDs may be the safer bet. Check your rates against churn revenue impact benchmarks.
Should I offer lifetime deals during launch?
LTDs can be a powerful launch strategy for generating upfront cash and early user feedback. However, you are trading long-term recurring revenue for short-term capital. Consider capping the number of LTDs sold and setting a clear end date. Model the tradeoff with our discount impact calculator.
How do I calculate the true cost of a lifetime deal customer?
The true cost includes the LTD price received minus ongoing hosting, support, and infrastructure costs for that customer over their entire lifetime. If a customer costs $5/month to serve and uses the product for 5 years, that is $300 in costs against a one-time payment. Factor in your burn rate to understand the full picture.
Can I offer both lifetime deals and subscriptions?
Yes. Many SaaS companies run limited-time LTD campaigns alongside their subscription model. The key is to cap LTD availability so it does not cannibalize subscription revenue long-term. Use LTDs for early adopters and transition to subscriptions for growth. Compare billing approaches with our annual vs monthly billing calculator.
Related Tools
Pricing Strategy Calculator
Model different pricing tiers and find the optimal price point for your SaaS.
Annual vs Monthly Billing Calculator
Compare revenue from annual and monthly billing with discount tradeoffs.
Churn Revenue Impact Calculator
See exactly how much revenue churn costs your SaaS over time.
Discount Impact Calculator
Calculate how discounts affect your margins and revenue over time.
Track All Your Revenue Streams
Monitor LTD revenue, subscription MRR, and churn across all your business entities in one dashboard.