The product advertising glossary
What is CAC?
Customer acquisition cost is acquisition spending divided by newly acquired customers. It can include more than media spend.
By Drizzle team
A practical example
If media, creative, and acquisition labor total $5,000 and bring 100 new customers, fully loaded CAC is $50 under that cost definition.
How to use it
Distinguish CAC from a platform’s purchase CPA, which may include returning buyers and omit creative costs. Define the expenses and customer identity rules consistently.
Put it in a creative brief
Write down the event, asset, or workflow you mean by CAC before sharing a brief or report. For campaign measurements, keep the source and reporting window with the number. For creative work, attach an example so the team can assess the same thing.
Explore the creative testing guide, calculate campaign results with the ad metrics calculator, or return to the glossary.