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CAC

Customer Acquisition Cost

The cost to acquire one new customer.

Definition

What it actually means.

CAC includes marketing spend, sales team cost, and acquisition tooling, divided by customers acquired. Blended CAC includes organic; paid CAC isolates paid channels. The ceiling on sustainable CAC is roughly 33% of LTV.

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Customer Acquisition Cost (CAC)

The true cost of acquiring one new customer.

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