How Customer Acquisition Cost (CAC) Works
A full CAC calculation can include media, sales labor, agency fees, software and other acquisition costs, divided by new customers.
A Simple Example
If a company spends $60,000 across advertising and sales to acquire 300 new customers, blended CAC is $200.
Why Customer Acquisition Cost (CAC) Matters
CAC connects growth spending to unit economics and payback.
Common Misreading
Platform CPA and company CAC are rarely interchangeable. CAC usually includes more costs and should exclude returning customers from the denominator.