Measuring the Customer Acquisition Cost (CAC) is important for marketers in fast-growing companies. Keeping a pulse on this single metric can help prioritize spend channels, and inform overall strategic decisions that will have lasting impact on rate-of-growth.
Technology companies generally measure CAC by:
[Total cost of sales] + [Total cost of marketing] / [Number of new customers within a given time-period] = CAC
By optimizing conversion rates of paid channels and scaling organic search, Captora helps modern marketers maximize the ROI of critical inbound channels so your average customer acquisition doesn't keep increasing with your targets.