Customer Acquisition Cost (CAC)
TL;DR: Customer Acquisition Cost (CAC) is the total amount a business spends on acquiring a single customer, including marketing and sales expenses. It's calculated by dividing the total acquisition expenses by the number of new customers gained within a specific period.
Customer acquisition cost (CAC) is the total amount a business spends to persuade prospects and turn them into paying customers. You can compute the CAC by dividing marketing and promotion costs by the number of new customers gained. Calculating and assessing the customer acquisition cost allows companies to identify profitable efforts that they could use again on the next campaign.
Updated February 17, 2024
Axel Grubba is the founder of Findstack, a B2B software comparison platform, with his background spanning management consulting and venture capital where he invested in software. Recently, Axel has developed a passion for coding and enjoys traveling when he is not building and improving Findstack.
Customer Acquisition Cost (CAC)
Customer Acquisition Cost (CAC) is the total expense incurred by a business to acquire a single customer, encompassing marketing and sales costs.
https://findstack.com/glossary/customer-acquisition-cost-cac
xxx
2024-02-17 18:06:01 +0000
Axel Grubba
Axel Grubba is the founder of Findstack, a B2B software comparison platform, with his background spanning management consulting and venture capital where he invested in software. Recently, Axel has developed a passion for coding and enjoys traveling when he is not building and improving Findstack.
https://findstack.com/blog/authors/axel-grubba
https://cdn.sanity.io/images/r28tpms4/production/461cd1d645ba9506c9e41a5f050b7ab00dafd718-1704x1560.jpg
