SaaS Marketing Glossary
/
Customer Acquisition Cost (CAC)
Core Financial Metrics

Customer Acquisition Cost (CAC)

CAC, Customer Acquisition Cost
Definition

How much it costs to get one paying user. Including expenses like ad spend, time, and tools.

Why it matters

Most founders forget to factor in their own time, which makes their CAC look lower than it really is. If your CAC is higher than your profit, you have no business. Keeping your CAC low is about finding "leverage"—using content that keeps working for you long after you write it, rather than just relying on expensive, one-time ads.

Founder perspective
Still untangling your marketing?
93 terms, all in plain English
Browse the glossary
Subscribe to  “Marketing is Not My Job”
Our newsletter to get you understanding marketing, even when it's not your job. Comes out (almost) every week!
By subscribing you agree with our Privacy Policy
© 2026 Ignore No More.
All rights reserved.