CAC Calculator
Measure your Customer Acquisition Cost by entering total marketing spend and new customers below.
CAC Calculator – Measure Customer Acquisition Cost in Digital Marketing:
In every business, understanding how much it costs to acquire a new customer is critical. The Customer Acquisition Cost (CAC) is a key metric that helps you evaluate the efficiency of your marketing and sales efforts. With our free CAC Calculator, you can instantly calculate your acquisition cost and improve your decision-making.
What is CAC (Customer Acquisition Cost)?
Customer Acquisition Cost (CAC) is the total cost of acquiring a new customer, including marketing, advertising, and sales expenses.
Formula:
CAC = Total Marketing & Sales Spend ÷ Number of New Customers Acquired
For example:
If you spent $5,000 on marketing and sales in a month and acquired 100 new customers,
CAC = $5,000 ÷ 100 = $50 per customer
This means each customer costs you $50 to acquire.
Why CAC Matters?
CAC is a critical metric because it shows whether your business is growing profitably or not.
Helps measure marketing efficiency- Influences ROI and profitability
- Guides pricing and budgeting decisions
- Provides insight into scalability
- Helps balance acquisition vs. retention
If CAC is too high, you’re spending too much to gain customers. If it’s low, you have efficient acquisition strategies.
How to Use Our CAC Calculator?
Our CAC Calculator is easy to use for startups, eCommerce stores, SaaS companies, and agencies:
Enter your total marketing & sales spend.
Enter the number of new customers acquired.
Press Calculate.
Get your Customer Acquisition Cost instantly.
This digital marketing calculator works for monthly, quarterly, or annual CAC tracking.
Example CAC Calculations:
Example 1: Startup Marketing Campaign
Spend: $10,000
New Customers: 500
CAC = $10,000 ÷ 500 = $20 per customer
Example 2: SaaS Business
Spend: $50,000
New Customers: 2,000
CAC = $50,000 ÷ 2,000 = $25 per customer
Example 3: E-commerce Store
Spend: $30,000
New Customers: 1,000
CAC = $30,000 ÷ 1,000 = $30 per customer
CAC vs. CLV:
CAC alone doesn’t tell the whole story. The true measure of profitability comes when comparing CAC vs. CLV (Customer Lifetime Value).
If CLV > 3 × CAC → Business is profitable.
If CLV < CAC → Business is unsustainable.
That’s why using both CAC Calculator and CLV Calculator together is essential
Average CAC Benchmarks by Industry:
+SaaS: $100 – $1,000+
E-commerce: $20 – $50
B2B Services: $200 – $1,000
Education: $100 – $500
Healthcare: $200 – $800
Use our CAC Calculator to check whether your cost per customer is within your industry standards.
Factors That Influence CAC:
Marketing Channel – Paid ads vs. organic SEO
Sales Cycle Length – Long cycles increase CAC
Target Audience – Narrow targeting may cost more
Competition Level – High competition increases CAC
Conversion Rate – Low conversions push CAC higher.
Best Practices to Reduce CAC:
Invest in SEO & Content Marketing – Free, long-term traffic.
Leverage Referrals & Word of Mouth – Low-cost customer acquisition.
Improve Conversion Rate – Better landing pages reduce CAC.
Focus on Retargeting – Bring back warm leads at lower cost.
Automate Marketing – Email and chatbots save resources.
Common Mistakes in Calculating CAC:
Ignoring hidden costs like salaries and tools.
Only focusing on short-term results.- Not segmenting CAC by channel.
- Comparing CAC without CLV.
Our CAC Calculator ensures you calculate this metric accurately.
Conclusion:
The CAC Calculator is an essential digital marketing calculator that helps you measure how much it costs to acquire each customer. By calculating CAC, you can:
Control marketing and sales spend
Improve efficiency
Compare against CLV
Make smarter business decisions
Try our free CAC Calculator today, and don’t forget to check out other tools like CLV Calculator, ROI Calculator, and Conversion Rate Calculator to optimize your marketing strategy.
What is a good CAC?
It depends on industry, but generally CAC should be less than one-third of CLV
Does CAC include salaries?
Yes, if those employees are directly involved in sales/marketing
How often should i calculate CAC?
Monthly for fast-changing industries, quarterly for others
Is a lower CAC always better?
Not always. Sometimes higher CAC is okay if CLV is much higher
Can CAC help attract investors?
Yes, CAC is one of the key metrics investors look at