Predictive customer lifetime value (CLV) uses AI-driven analytics to estimate the total revenue a customer will generate over their relationship with a business. CRM platforms analyze purchase frequency, engagement levels, and transaction history to forecast CLV, helping businesses refine acquisition strategies and retention efforts. By understanding CLV, companies can allocate marketing budgets effectively, personalize offers, and maximize profitability. AI-powered CLV predictions enable data-driven decision-making and long-term customer relationship management.