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Analytics
CAC
Customer Acquisition Cost. Total marketing + sales spend divided by new customers in a period.
CAC is the gold-standard efficiency metric for any growth program. Calculate it monthly by summing all marketing spend (paid media, agency fees, content production, tooling) and sales spend (reps, commissions, tooling) attributable to acquisition, then divide by net new paying customers. Pair with LTV: aim for LTV:CAC of 3:1 or better.