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Customer acquisition cost has two common definitions that produce very different numbers. This calculator shows both — paid CAC and blended CAC — and the gap between them.
Also known as: Customer Acquisition Cost Calculator · Blended CAC Calculator · Paid CAC Calculator
Search intent is high, so CTR and conversion rate run well above social. You are buying clicks, and CPC is the lever that matters.
Budget buys clicks directly. Click-through rate only affects how many impressions it takes to find them.
For the period you are planning.
Average cost per click.
Only implies the impressions needed.
Share of clicks that convert.
Revenue per conversion.
Revenue left after COGS. This sets break-even.
47,483
Implied by your CTR
1,852
3.90% CTR
$2.70
$105.30 effective CPM
78
4.2% of clicks
$64.29
Break-even at $54.00
$9,333.33
From 78 orders
1.87x
Break-even is 2.22x
-$800.00
After COGS and media spend
-16.00%
Profit as a share of spend
Paid CAC counts media spend against customers that media actually bought. Blended CAC spreads every marketing cost across every new customer, organic included — it is the friendlier number, and the two get quoted interchangeably far too often.
Salaries, tools, agency fees, creative.
Won without paid media.
$64.29
78 paid customers
$55.19
118 total customers
1.16x
How much flattering the blended figure looks
Projections only. Real campaigns vary with auction pressure, seasonality, creative fatigue, returns and refunds. Platform starting values are rough public benchmarks, not guarantees — replace them with your own reporting.
Paid CAC is media spend divided by the customers that media bought. It is the number your ad manager optimises against and the one that tells you whether a campaign works.
Blended CAC divides all marketing cost — salaries, tools, agency retainers, creative — by every new customer, including those who arrived through organic search, referral or word of mouth. It is the number boards and investors usually mean, and because organic customers are free, it is almost always the lower and more comfortable figure.
Both are legitimate. The problem is quoting one as simply CAC. A business with $20,000 of media buying 200 customers has a $100 paid CAC; add $5,000 of overhead and 300 organic customers and blended CAC falls to $50. Same month, same business, one number twice the other. Scale spend on the strength of the blended figure and unit economics quietly break.
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For paid CAC, divide media spend by the customers acquired from that media. For blended CAC, divide total marketing cost — media plus salaries, tools and agency fees — by every new customer in the period, organic included.
Use paid CAC to judge campaigns and set bids, because it isolates what the media actually bought. Use blended CAC to judge the business as a whole. Just never compare one to the other, or report either without saying which it is.
CPA is cost per conversion, and a conversion might be a signup, a lead or a trial. CAC is cost per paying customer. If only a third of your trials convert, CAC is roughly three times CPA — they are often conflated and rarely equal.
Only meaningful next to lifetime value. The conventional bar is LTV at least three times CAC, with payback inside twelve months. A $500 CAC is excellent for enterprise software and fatal for a $40 ecommerce order.
In blended CAC, yes — headcount, tools and agency fees all count. Paid CAC deliberately excludes them so you can see media efficiency on its own. Say which you are reporting whenever you share the number.
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