CAC Calculator
Calculate customer acquisition cost — what it costs to win a new customer.
The price of a new customer
Customer acquisition cost is the total spent on sales and marketing divided by the number of new customers it won — what each new customer costs you to acquire. This works it out, a fundamental number for understanding whether growth is efficient or expensive.
Enter your acquisition spend and new customers to see the CAC.
CAC only means something next to LTV
On its own, an acquisition cost is just a number; its meaning comes from comparing it to what a customer is worth. If it costs more to win a customer than that customer will ever bring in, every sale loses money and growth bankrupts you faster — while if lifetime value comfortably exceeds acquisition cost, spending more to grow makes sense. The ratio of lifetime value to acquisition cost is therefore one of the most watched health metrics in business, especially for subscription models. It is also worth tracking how long it takes to recoup the acquisition cost, since a long payback strains cash even when the economics eventually work. CAC in isolation cannot tell you if you are winning; CAC against LTV can.
CAC Calculator FAQ
Why must CAC be compared to lifetime value?
Because acquisition cost only means something against what a customer is worth — if it exceeds lifetime value, every sale loses money, however cheap it looks.
What is a healthy relationship between CAC and LTV?
Lifetime value should comfortably exceed acquisition cost, and the time to recoup CAC should be short enough not to strain cash.
Is anything uploaded?
No. The calculation happens in your browser.