Customer acquisition cost: Checking the Cost of Acquiring a Customer
CAC divides acquisition spending by the new customers attributed to that spending. Define the cohort and acquisition window before calculating.
Use the Customer acquisition cost Calculator to enter your own figures and compare the result with the worked example below.
Customer acquisition cost formula
CAC = Sales and marketing acquisition cost ÷ New customers acquired
Worked example
| Item | Example value |
|---|---|
| Acquisition sales and marketing costs | 10000 USD |
| New customers | 100 customers |
| Customer acquisition cost | 100 USD |
These are illustrative inputs, not current prices, rates or recommended targets. Where a currency is shown, keep all comparable money amounts in the same currency; conversion examples identify the two sides separately.
How to interpret the result
Including all customers instead of new customers understates acquisition cost. Long sales cycles may require matching spending to later conversions.
Related calculations
Method and further reading
The example follows the FinMathly calculator method. For broader background, see SEC: Understanding financial statements. The background resource may use jurisdiction-specific terms; it does not replace the assumptions of this calculator.
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