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Analytics
CAC Calculator
Calculate customer acquisition cost and LTV:CAC ratio.
Results
- Customer Acquisition Cost (CAC)$300
- LTV : CAC ratio4.00 : 1
- Estimated payback period6.0 months
Verdict: Healthy โ LTV:CAC above 3:1.
About this tool
Enter your marketing and sales spend, the number of new customers acquired, and (optionally) average LTV. The calculator returns your Customer Acquisition Cost, LTV:CAC ratio, payback period, and a plain-English verdict.
What it does
- โขTrue CAC from marketing + sales spend
- โขLTV : CAC ratio with health verdict
- โขEstimated payback period
- โขWorks for SaaS, ecommerce, agencies
Use cases
- โ Measuring paid channel efficiency
- โ Benchmarking against 3:1 LTV:CAC rule
- โ Defending a marketing budget
FAQ
How is CAC calculated?
CAC = (marketing spend + sales spend) รท new customers acquired in the same period. Include salaries, ads, tools and agency fees.
What's a good LTV:CAC ratio?
3:1 is the SaaS rule of thumb. Below 1:1 you lose money; above 5:1 you may be under-investing in growth.
