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What Does CAC Mean

EPISODE · Jul 16, 2023 · 3 MIN

What Does CAC Mean

from SaaS Metrics School · host Ben Murray

In episode #3, I discuss CAC, or Customer Acquisition Cost. CAC can be gross dollars or a unit cost. Screw up your CAC calculation and it affects CAC Payback Period and your Cost of ARR. CAC is fundamental to your metrics reporting package. Highlights: - CAC can be dollars or a unit cost - CAC flows to your CAC Payback and Cost of ARR - What’s your prize? Logos, users, brands, etc. - You must allocate gross CAC dollars - Align CAC measurement to your sales cycle - Fully burdened sales and marketing dollars

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What Does CAC Mean

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