How Cost Per Acquisition (CPA) Works
CPA equals spend divided by acquisitions. The denominator must be explicit: a platform conversion, qualified lead, new customer or closed sale can each produce a different CPA.
A Simple Example
If $10,000 in spend produces 100 new customers, new-customer CPA is $100.
Why Cost Per Acquisition (CPA) Matters
CPA translates spend into an outcome cost that can be compared with margin and customer value.
Common Misreading
Calling a form fill an acquisition can hide the cost of becoming a paying customer. Always label exactly what was acquired.