Customer Acquisition Cost (CAC)

Customer Acquisition Cost or CAC estimates the cost incurred by an organization to gain new customers.
In SaaS organizations, CAC is a crucial metric that indicates the cost on average that the organization incurs to convert a prospect into a paying customer.

It includes costs such as advertisement, content marketing, SEO, and branding.
Sales efforts such as salaries, commission, CRM solutions and even acquisition costs such as discounts and incentives for onboarding.

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