Customer Acquisition Cost

The total cost of sales and marketing efforts required to acquire a new customer.

Category
Philosophy
Term ID
customer-acquisition-cost
Related
4 Terms
Status
Defined
01 — The Deep Dive

Understanding the Mechanics

CAC is the price of growth. It includes not just ad spend, but salaries, commissions, software, and overhead. A sovereign system reduces CAC by automating the labor-intensive parts of the funnel.

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