How much does it cost to get a new customer?

The cost to acquire a new customer, known as Customer Acquisition Cost (CAC), varies widely depending on the business and industry. However, based on the search results, we can provide some general insights:

  1. CAC is calculated by dividing the total cost of sales and marketing by the number of new customers acquired over a specific period13.
  2. For example, if a company spent $500,000 on sales and $300,000 on marketing in a quarter and acquired 800 new customers, the CAC would be ($500,000 + $300,000) รท 800 = $1,000 per customer3.
  3. In another example, a CRM software company that invested $80,000 and acquired 2,000 new customers would have a CAC of $40 per customer3.
  4. CAC can range from as low as $1 per customer (if a company spends $1,000 on marketing and acquires 1,000 customers) to much higher amounts depending on the industry and marketing efficiency6.

It’s important to note that CAC should be lower than the Customer Lifetime Value (CLV or LTV) for a business to be profitable2. The goal for most companies is to reduce CAC while maintaining or increasing the number of new customers acquired3.