What is CAC?
What it costs to get one customer. Compared against what that customer is worth, it decides whether growth makes money or loses it.
Metrics
The definition
Customer acquisition cost. What it costs on average to win one new customer.
An example
Spend $2,000 on ads and get 40 customers, and CAC is $50.
Related
Questions people ask
What is CAC?
Customer acquisition cost. What it costs on average to win one new customer. What it costs to get one customer. Compared against what that customer is worth, it decides whether growth makes money or loses it.