Definition
CAC calculated using only paid channel spend and the customers directly attributed to those paid channels.
Why it matters for growth
Isolating paid CAC lets a team judge whether a specific ad channel is efficient enough to scale independent of organic performance.
Example
A team spends $4,000 on Google Ads and attributes 20 customers to those clicks, yielding a paid CAC of $200.
FAQ
- What is Paid CAC?
- CAC calculated using only paid channel spend and the customers directly attributed to those paid channels.
- Why does Paid CAC matter for growth?
- Isolating paid CAC lets a team judge whether a specific ad channel is efficient enough to scale independent of organic performance.
- What is an example of Paid CAC?
- A team spends $4,000 on Google Ads and attributes 20 customers to those clicks, yielding a paid CAC of $200.