Customer Acquisition Cost (CAC): Difference between revisions
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= Customer Acquisition Cost (CAC)= | = Customer Acquisition Cost (CAC)= | ||
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== Definition == | == Definition == | ||
Sum of all sales ( | Sum of all sales expenses (S<sub>x</sub>) and marketing expenses (M<sub>x</sub>) in the given time period (<small>Δ</small>t) divided by the number of new customers (NC) acquired in that time period. | ||
<math> | <math> | ||
CAC(t)= | CAC(\Delta t)=\frac{S_x+M_x}N | ||
</math> | </math> | ||
Revision as of 14:53, 4 December 2022
Customer Acquisition Cost (CAC)
Customer Acquisition Cost, CAC, refers to the cost of acquiring a new customer, which includes expenses such as advertising, sales commissions, and other marketing efforts.
Definition
Sum of all sales expenses (Sx) and marketing expenses (Mx) in the given time period (Δt) divided by the number of new customers (NC) acquired in that time period.
Standardization Status
Request for Comments (RFC): 22/0001 - Customer Acquisition Cost (CAC)
Type: metric
Version: 0.9
Status:proposal