What is CAC?
CAC (customer acquisition cost) is how much you spend to acquire one new customer. Formula: CAC = Marketing / acquisition spend ÷ New customers acquired. Use it with LTV for LTV:CAC and payback.
Enter your marketing spend and new customers below.
CAC (Customer Acquisition Cost)$50.00
Aim for LTV:CAC of 3:1 or higher. Use our LTV Calculator (linked on this page) to compare.
Why CAC matters
Keeping CAC below LTV (and aiming for LTV:CAC of 3:1 or higher) helps sustainable growth. Use our LTV Calculator and Marketing Channel ROI Comparator for more.
FAQ
- What is CAC?
- Customer Acquisition Cost (CAC) is total marketing and sales spend divided by the number of new customers acquired. CAC = Marketing spend ÷ New customers.
- What is a good CAC for ecommerce?
- It depends on LTV. A common rule is LTV:CAC of 3:1 or higher. If your LTV is $150, keeping CAC under $50 is a rough target. Use our LTV Calculator to compare.
- Is this CAC calculator free?
- Yes. Free with no signup. For LTV and payback see LTV Calculator; for channel comparison see Marketing Channel ROI Comparator.