Result
CAC
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This calculation is for informational purposes only and does not replace advice from a qualified professional. Formulas and rates may not fit your exact situation — double-check the figures before making decisions.
How it is calculated
CAC = total acquisition spend ÷ number of new customers. A common mistake is counting only ad spend, leaving out sales and marketing salaries and ad/CRM tool subscriptions — the real cost of acquiring a customer is almost always higher than what one ad account shows.
CAC alone doesn't say whether it's good or bad — it needs to be compared against what a customer brings over their lifetime (LTV). The common rule of thumb: LTV should be at least 3× CAC, or the business model can't carry the rest of its costs at scale.
Calculate CAC for a specific period (month, quarter) and a specific channel — averaging it across every channel at once hides the fact that one channel might pay off beautifully while another runs at a loss.