All Termsanalytics

Customer Acquisition Cost (CAC)

The total cost of acquiring a new customer, calculated by dividing all sales and marketing expenses by the number of new customers acquired in a given period. CAC is a critical profitability metric that B2B companies use to evaluate the efficiency of their go-to-market strategy.

Related Terms

Return on Investment (ROI)Customer Lifetime Value (CLV)Cost Per Lead (CPL)Marketing Metrics

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