Customer Acquisition Cost Examples
Posted: Thu Jan 23, 2025 6:20 am
To make sure you have a good understanding of what CAC is and how to calculate it, let’s look at this example of Customer Acquisition Cost. Take a look at how a sports products e-commerce site calculates its Customer Acquisition Cost:
1. Calculating the cost of the campaign
The first thing you need to do is find out the amounts that make up the marketing and sales costs. Since this is e-commerce, the expenses incurred are as follows:
Marketing team member salaries : They are the ones who study the leads and are in charge of creating strategies to capture them. If this team is made up of 2 people and each receives a monthly salary of $1,500, the total would be $3,000.
Paying for an SEO specialist : To achieve an organic positioning of the website and attract clients, someone specialized in SEO is required to create a positioning plan that yields results. The investment for the hiring was $1,700 per month.
Digital advertising : the e-commerce decided to use paid media to reach kuwait whatsapp resource its leads. Between the advertising budget and the hiring of the SEM specialist, $3,500 was invested per month.
If we add up each amount, the total is $9,200 per month. This would be the cost of the campaign.
2. Selecting the period
The e-commerce decided to do the calculation monthly , as it considers it to be the most convenient way to ensure it maintains a good CAC.
3. Identification of customers acquired in a month
According to company records, 30 new customers were acquired and all of them have made more than one purchase.
4. Application of the formula
Since the campaign expense must be divided by the number of customers acquired, the business applies the following formula:
CAC = $9,200 / 30
CAC = $306.6
5. Analysis of results
Our CAC was $306.6. Does this make sense for you? If each customer makes a total of purchases that exceed this amount, your e-commerce CAC is appropriate.
1. Calculating the cost of the campaign
The first thing you need to do is find out the amounts that make up the marketing and sales costs. Since this is e-commerce, the expenses incurred are as follows:
Marketing team member salaries : They are the ones who study the leads and are in charge of creating strategies to capture them. If this team is made up of 2 people and each receives a monthly salary of $1,500, the total would be $3,000.
Paying for an SEO specialist : To achieve an organic positioning of the website and attract clients, someone specialized in SEO is required to create a positioning plan that yields results. The investment for the hiring was $1,700 per month.
Digital advertising : the e-commerce decided to use paid media to reach kuwait whatsapp resource its leads. Between the advertising budget and the hiring of the SEM specialist, $3,500 was invested per month.
If we add up each amount, the total is $9,200 per month. This would be the cost of the campaign.
2. Selecting the period
The e-commerce decided to do the calculation monthly , as it considers it to be the most convenient way to ensure it maintains a good CAC.
3. Identification of customers acquired in a month
According to company records, 30 new customers were acquired and all of them have made more than one purchase.
4. Application of the formula
Since the campaign expense must be divided by the number of customers acquired, the business applies the following formula:
CAC = $9,200 / 30
CAC = $306.6
5. Analysis of results
Our CAC was $306.6. Does this make sense for you? If each customer makes a total of purchases that exceed this amount, your e-commerce CAC is appropriate.