Ecommerce glossary
CAC
CAC (customer acquisition cost) is the spend required to win one new customer: acquisition spend divided by the number of new customers in the same period.
Formula
CAC = Acquisition spend ÷ New customers
Example
$2,500 ad spend ÷ 100 new customers = $25 CAC.
In Analify
Analify knows ad spend from connected platforms and new versus returning customers from Shopify, so the Agent can calculate CAC by period or channel.
Questions
Should returning-customer orders count?
No. CAC divides by new customers only; including returning customers makes CAC look lower than it is.
What is a healthy CAC?
One your customers’ profit can pay back — compare CAC with contribution per customer over time.
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