Method and assumptions
Blended CAC includes all acquisition-related marketing and sales spend, not only media cost. Use new customers acquired in the same measurement period.
CAC = marketing and sales spend / new customers. Gross-profit LTV = average order value × expected orders × gross margin.
Worked scenario
Combine media, agency, creative, sales labor, commissions and acquisition tools for one period, then divide by genuinely new customers from the same period or a matched cohort. Compare blended CAC with first-order contribution and gross-profit LTV rather than with revenue LTV alone.
How to interpret the result
Paid-media CPA is usually narrower than blended CAC. Existing-customer orders, organic acquisition and sales-assisted deals affect the denominator differently. Document whether the metric is channel CAC, paid CAC or blended CAC, and use cohort payback to reflect the timing of repeat contribution.
Input reference
- Currency
- Example default: USD
- Marketing spend
- Example default: 20000
- Sales team and tools
- Example default: 5000
- New customers acquired
- Example default: 500
- Average order value
- Example default: 70
- Gross margin
- Example default: 45%
- Expected orders per customer
- Example default: 3
Common mistakes
- Counting repeat customers as newly acquired customers.
- Excluding sales and creative cost from blended CAC.
- Comparing one-month CAC with immature lifetime value.
Before using the result
- Define a new customer consistently across systems.
- Match acquisition spend and customer cohort timing.
- Track gross-profit payback, not only LTV-to-CAC ratio.
Questions to check before deciding
Should agency fees be included in CAC?
Yes, when the fee supports customer acquisition during the measured period.
Should returning customers count as new customers?
No. Use first-time customers for acquisition CAC unless you intentionally calculate a different metric.
Independent calculator. Not affiliated with or endorsed by the platforms mentioned.