CAC- Customer Acquisition Cost
CAC Have you ever tried to sell lemonade at a stand? You need lemons, sugar, and cups. You have to buy those things before you can sell even one glass. In the big world of businesses, like the apps on your phone or the websites you visit, they have a special cost too. It’s not for lemons, but for customers. This cost has a special name: CAC. CAC stands for Customer Acquisition Cost. That’s a big, fancy phrase, so let’s break it down like a puzzle. Customer: A person who buys something from you. Acquisition: A big word that just means “to get” or “to win.” Cost: How much money you spend. So, CAC is simply: “How much money does a company spend to get one new customer to buy something?” Think of it like a game. The prize is a new customer. The money you spend on advertising, special offers, and salespeople are your “game tokens.” CAC…