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Metric Glossary
Customer Acquisition Costs (CAC)
Customer Acquisition Costs (CAC)

How the CACs are defined and calculated

Valentine Strunz-Happe avatar
Written by Valentine Strunz-Happe
Updated over a week ago

How much you spend on marketing to acquire a new customer


Formula

Customer Acquisition Costs = Marketing Costs / New Customers

Explanation

How much you spend on average to acquire a new customer. This is the costs that you need to recoup from a customer over his lifetime (his cumulative CM2) to turn a profitable.

Notes

Depending on the report, CAC might be calculated different.

The default version is a blended CAC where all marketing costs in the selected Date Range are equally distributed across all customers acquired in that period. Please look at the report's knowledge article to find out if it uses a different way to calculate the CAC.

Used in the following reports

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