Customer Acquisition Cost (CAC)

Customer Acquisition Cost (CAC) is the total cost a company must spend to acquire a single new customer. The formula: total marketing and sales costs divided by the number of new customers gained in a period.

What is Customer Acquisition Cost (CAC)?

Customer Acquisition Cost (CAC) is one of the most important metrics in marketing. It shows how much it costs to acquire a new customer.

The formula is simple:

CAC = Total Marketing & Sales Costs / Number of New Customers Acquired

Example: your company spends €10,000 on marketing and sales in January and acquires 100 new customers. Your CAC is €100.

CAC includes all expenditure: advertising budget, agency fees, content production, trade show costs, sales team salaries, software licenses, and every other expense directly attributable to acquiring new customers.

Why CAC Matters More Than Ever in 2026

Customer acquisition costs have exploded in recent years. According to data from HubSpot and Simplyfy Business, CAC has risen by over 222% since 2015. A new customer that cost €25 in 2015 now costs €80 or more.

The drivers:

  • More competition for the same ad placements on Meta, Google, and others
  • Rising platform prices: Meta CPMs continue to increase year-on-year
  • Declining attention: every impression becomes worth less as users ignore more content
  • Collapsing organic reach: Facebook now shows business posts to only 2–3% of followers

How to Lower Your CAC with Owned Audiences

Experian reports that the consistent use of first-party data can reduce customer acquisition costs by up to 50%. The key: Owned Audiences instead of rented reach.

Three levers:

  • Use direct channels: A WhatsApp message reaches 98% of recipients. A social media post reaches 2–3%. Direct channels reduce wasted reach and therefore lower CAC.
  • Build opt-in contacts: Owning your own contact list means not paying for reach with every campaign. Broadcasts to existing subscribers cost a fraction of paid ads.
  • Retention over acquisition: Retaining existing customers is 5–7× cheaper than acquiring new ones. Multichannel communication via a Unified Inbox strengthens customer loyalty.

Lower CAC with SendSeven

SendSeven bundles 8 direct channels in one platform: WhatsApp, Telegram, SMS, Email, Messenger, Instagram, Live Chat, and Browser Push. All messages land in one inbox. Your team responds in one place.

The effect: you build owned audiences, communicate directly with your customers, and reduce your dependency on paid reach. Plans from €49/month (Basic); API Only from €9/channel for developers. 14-day free trial.