What is CAC (Customer Acquisition Cost)?
CAC
CAC (Customer Acquisition Cost) is the total cost required to acquire a new customer, including all sales and marketing expenses.
Detailed Deep Dive
CAC (Customer Acquisition Cost) is the total cost required to acquire a new customer, including all sales and marketing expenses (salaries, ad spend, software) divided by the number of customers acquired during that period. Monitoring CAC is critical for assessing marketing efficiency and ensuring that customer acquisition is sustainable relative to the lifetime value of the customer.
Frequently Asked Questions
Q:How is CAC calculated?
CAC = Total Sales and Marketing Expenses / Number of New Customers Acquired.
Q:What expenses are included in CAC?
Marketing ad spend, salaries of sales and marketing staff, software tools, and onboarding costs.
Quick Facts
- CategoryMetrics
- Key ApplicationAd spend budgets and marketing efficiency monitoring
Coverage Trend12 Weeks
Related Terms
CAC Media Coverage & Intelligence
No Direct CAC News Today
We currently have no direct coverage articles matching "CAC" in the database archive. Explore trending global tech stories below instead.
Trending Tech Stories
The Control Gap: Enterprise AI organizations have an ownership problem, not a technology problem - and most are governing it by hand
AI portfolios are expanding far faster than the ability to govern them across enterprises. Most organizations run a contested field of platforms, each claiming
SpaceX has an AI device prototype, and it sure sounds phone-ish
SpaceX reportedly showed investors a "handset-like" AI device before going public. It could be another signal SpaceX wants to expand into wireless.
Ashton Kutcher leaving Sound Ventures to launch new VC firm with Morgan Beller
The actor and investor is joining forces with Morgan Beller, who was previously a GP at NFX, to invest in early-stage startups.
You Can Now Sound the Alarm on AI Behaving Badly
Are you worried your AI chatbot is trying to build a bomb or leak personal information about you? There's a website for that.