Customer acquisition cost (CAC)
When you say customer acquisition cost, you are opening the window to a huge world.
The customer acquisition cost is one of the main factors determing your business sustainability. So, it is worth the effort to understand in depth how it may impact your buinsess.
Here you can find all the deepenings you need about customer acquisition cost.
How to calculate CAC of your online business is the question you never asked not to seem stupid. But you had to. It is damn worth.
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LTV and CAC themselves don’t tell you much, they need to be combined in one metric. Defining such metric as LTV/CAC or LTV-CAC you’re investigating two different aspects of your business.
You run your customer acquisition strategy and get new customers aiming at converting them to repeated purchases. This marketing seems coming for free, right? No!
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