The blended CAC is £480. One channel is £1,900.

Average acquisition cost is the number almost every business tracks, and the one most likely to hide a channel that is quietly losing money on every sale.

By Steve 5 min read
Abstract bridge artwork for The blended CAC is £480. One channel is £1,900.

Blended customer acquisition cost is an average, and averages are where economics go to hide. Total acquisition spend divided by total new customers produces a single tidy figure that boards like, forecasts use and nobody argues with. It is also the figure most likely to conceal that one channel is subsidising another, that the last increment of spend was the worst one, and that the business is growing more expensive to grow even as the headline number improves. The mechanism is worth spelling out, because it is counter-intuitive: blended CAC…

Keep reading for free

Create an account to read the rest.

The whole library is free. No card, no subscription, no trial that quietly ends. An account simply lets us know who we are writing for, and opens every article from here on.

  • Every article, in full, at no cost
  • New articles published every weekday
  • Takes about twenty seconds
Create a free account I already have one

Free means free. We will not charge you for the library, and you can read as much of it as you like.

Important: General information only. Rialto Bridge articles describe patterns and considerations that may apply to a business; they are not financial, legal, tax or accounting advice, and they take no account of your particular circumstances. Consider your own situation and seek advice from a qualified professional before acting.

More on Marketing

Scroll to Top