CAC: What Each New Customer Really Costs

Knowing cost per customer stops marketing debates from being guesswork. If acquiring a customer costs more than they are worth, the model needs fixing.

What is the Customer Acquisition Cost Calculator?

Enter total sales and marketing spend for a period and the new customers won in that period, and the tool gives cost per customer. This is an estimate from your own totals, not an industry benchmark, and it is only useful when spend and customers cover the same period.

How to use it

1. Enter sales and marketing spend for the period.
2. Enter new customers won in the same period.
3. Click Calculate CAC.

Worked example

With 5000 spend and 100 new customers, CAC is 50 per customer.

Should salaries count in CAC?

Yes, if the people counted work on winning customers. Leaving them out understates the true cost.

Frequently asked questions

What period should I use?

Use one month or one quarter, and keep spend and new customers in the same period.

What is a good CAC?

There is no universal good figure. Compare it with what a customer is worth to you over their lifetime.

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