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Unit economics & SaaS

Customer acquisition cost

Total sales and marketing spend in a period divided by the new customers won in it. What it costs to buy a customer.

Owned by: AnalystTest band: Analyst
Practice · 17 questions →

The formula

CAC = Sales & marketing spend ÷ New customers

In practice

Fully load it: salaries, tools, agencies, not just ad spend. And lag it — this quarter's customers were bought with last quarter's marketing.

The kind of thing the test asks

  • Q1 sales and marketing spend was $150k and 50 customers signed. Fully loaded CAC is…
Answer these in the test →

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