📊What is Customer Acquisition Cost?
CAC is a metric that shows how much a company spends on marketing, sales, and other efforts to gain a new customer. It’s essential for assessing the efficiency of acquisition investments.
🧮 Customer Acquisition Cost Formula
CAC=Total acquisition expenses​/Number of new customers acquired
✅ Importance
- Helps calculate marketing campaign profitability.
- Allows comparison of costs across channels or strategies.
- A high CAC may indicate inefficiencies or issues in the acquisition process.
📘 Practical example
If a company spends €10,000 on marketing and sales in a month and gains 50 new customers, the CAC is:
10,000€/50=200€ per customer
👉 Measures the average cost spent to acquire a new customer.
