{"id":68661,"date":"2021-01-14T12:23:00","date_gmt":"2021-01-14T12:23:00","guid":{"rendered":"https:\/\/morningtrain.dk\/what-is-cac\/"},"modified":"2026-04-21T06:30:52","modified_gmt":"2026-04-21T06:30:52","slug":"what-is-cac","status":"publish","type":"post","link":"https:\/\/morningtrain.dk\/en\/what-is-cac\/","title":{"rendered":"What is CAC?"},"content":{"rendered":"\n<section class=\"wp-block-mt-blog-post-cover mt-blog-post-cover\"><div class=\"mt-blog-post-cover__inner page-container\"><div class=\"mt-blog-post-cover__text-container\"><p class=\"mt-blog-post-cover__tagline tagline\">Data insights<\/p><p class=\"mt-blog-post-cover__date\">14. januar 2021<\/p><h1 class=\"mt-blog-post-cover__title\">What is CAC?<\/h1><\/div><div class=\"wp-block-post-excerpt\"><p class=\"wp-block-post-excerpt__excerpt\">CAC is an abbreviation for Customer Acquisition Cost, and it is a qualitative performance indicator (KPI) intended to show the relationship between the money invested and how many customers you have acquired for that money. <\/p><\/div>\n\n<figure class=\"wp-block-post-featured-image\"><img decoding=\"async\" width=\"1248\" height=\"720\" src=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/01\/Hvad-er-CAC.png\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"\" style=\"object-fit:cover;\" srcset=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/01\/Hvad-er-CAC.png 1248w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/01\/Hvad-er-CAC-300x173.png 300w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/01\/Hvad-er-CAC-1024x591.png 1024w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/01\/Hvad-er-CAC-768x443.png 768w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/01\/Hvad-er-CAC-600x346.png 600w\" sizes=\"(max-width: 1248px) 100vw, 1248px\" \/><\/figure><\/div><\/section>\n<section\n    class=\"mt-blog-post-content mt-blog-post-content--has-table-of-contents mtSpacing-top-none mtSpacing-bottom-medium\"\n>\n    <div class=\"mt-blog-post-content__inner page-container\">\n        <div class=\"mt-blog-post-content__table-of-contents\">\n                                                <p class=\"mt-blog-post-content__table-of-contents-title\">\n                        Indhold\n                    <\/p>\n                                                    <a\n                        href=\"#hvem\"\n                        class=\"mt-blog-post-content__table-of-contents-item\"\n                    >\n                        Hvem b\u00f8r benytte det\n                    <\/a>\n                                    <a\n                        href=\"#beregning\"\n                        class=\"mt-blog-post-content__table-of-contents-item\"\n                    >\n                        Beregning\n                    <\/a>\n                                    <a\n                        href=\"#saadan\"\n                        class=\"mt-blog-post-content__table-of-contents-item\"\n                    >\n                        S\u00e5dan bruges CAC\n                    <\/a>\n                                    <a\n                        href=\"#cacvscpa\"\n                        class=\"mt-blog-post-content__table-of-contents-item\"\n                    >\n                        CAC vs. CPA\n                    <\/a>\n                                    <a\n                        href=\"#lavcac\"\n                        class=\"mt-blog-post-content__table-of-contents-item\"\n                    >\n                        H\u00f8j vs. lav CAC\n                    <\/a>\n                                  <\/div>\n        <div class=\"mt-blog-post-content__items\">\n                            \n\n<h2 class=\"wp-block-heading\" id=\"hvem\">Who should use CAC?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">All B2B companies where a customer has a value above DKK 25,000 and that work seriously with acquiring new customers should work with CAC.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">However, you should only use CAC if you have an approximate idea of <a href=\"https:\/\/morningtrain.dk\/en\/customer-lifetime-value-clv-how-to-use-it-in-your-sales-work\/\" type=\"post\" id=\"64291\">what an average customer is worth to your business<\/a>. If you know what a customer is worth, you will also have a better sense of what a new customer may\/should cost. <\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"680\" height=\"183\" src=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-2.png\" alt=\"\" class=\"wp-image-27592\" srcset=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-2.png 680w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-2-300x81.png 300w\" sizes=\"(max-width: 680px) 100vw, 680px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"beregning\">How to calculate CAC<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">There is some disagreement about which costs the final \u201cC\u201d represents. My recommendation is therefore to include all costs that you know have a direct correlation with <a href=\"https:\/\/morningtrain.dk\/en\/lead-generation\/google-ads-agency\/\" type=\"page\" id=\"64435\">acquiring new customers.<\/a> <\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>These include things like:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Ad spend<\/li>\n\n\n\n<li>Salaries for sales and marketing staff<\/li>\n\n\n\n<li>Agency and consultancy fees<\/li>\n\n\n\n<li>Content production<\/li>\n\n\n\n<li>Telemarketing services<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Once you have accumulated your sales and marketing costs, you divide them by the number of new customers you have gained in the period\/from the initiative.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(DKK 150,000 in ad spend + DKK 31,000 in consultancy fees + DKK 17,500 in video material) \/ 12 new customers = <b>CAC of DKK 16,541<\/b><\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" width=\"1024\" height=\"424\" src=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/11\/Hvad-betyder-CAC@2x-1-1024x424.png\" alt=\"\" class=\"wp-image-38007\" srcset=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/11\/Hvad-betyder-CAC@2x-1-1024x424.png 1024w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/11\/Hvad-betyder-CAC@2x-1-300x124.png 300w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2021\/11\/Hvad-betyder-CAC@2x-1.png 1410w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"saadan\">How is CAC used?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">CAC is a so-called <b>tactical KPI<\/b>. In other words, a <a href=\"https:\/\/morningbound.dk\/kpi-betydning\/\" target=\"_blank\" rel=\"noreferrer noopener\">KPI<\/a> <strong>you should not review week to week, but rather quarterly or semi-annually.<\/strong> <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The reason CAC should not be reviewed more often is that the KPI requires several figures to calculate\u2014figures that may take a long time to obtain\u2014and we must not overstate the administrative burden of updating our KPIs.<\/p>\n\n\n\n<div class=\"wp-block-mt-blog-post-text-box mt-blog-post-text-box\"><div class=\"mt-blog-post-text-box__inner page-container\"><div class=\"mt-blog-post-text-box__box\">\n<p class=\"wp-block-paragraph\">In addition, small fluctuations can make a big difference\u2014just 2 fewer customers than in the example above would increase CAC by 17%.<\/p>\n<\/div><\/div><\/div>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"cacvscpa\">CAC vs. CPA<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Be careful not to confuse CPA (<b>Cost Per<\/b> <b>Acquisition<\/b>) with CAC. The two are very different. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">CPA is used to measure the cost per <a href=\"https:\/\/morningtrain.dk\/en\/what-are-leads\/\"><b>lead<\/b><\/a> and not per <b>customer<\/b>,<b> <\/b>as CAC does. CPA is (unlike CAC) an <a href=\"https:\/\/bernardmarr.com\/what-is-the-difference-between-strategic-and-operational-kpis\/\" target=\"_blank\" rel=\"noreferrer noopener\"><b>operational<\/b> <b>KPI<\/b><\/a> that can be used week to week to indicate performance in lead acquisition. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The reason CPA is an operational KPI is that it is easier to calculate than CAC. It requires only 2 figures: <\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Your ad spend<\/li>\n\n\n\n<li>The number of leads<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">CPA is used to measure both the acquisition of warm leads (Marketing Qualified Lead = <a href=\"https:\/\/morningbound.dk\/hvad-betyder-mql\/\" target=\"_blank\" rel=\"noopener\">M<\/a><a href=\"https:\/\/morningtrain.dk\/en\/what-does-mql-mean\/\" type=\"post\" id=\"63849\">Q<\/a><a href=\"https:\/\/morningbound.dk\/hvad-betyder-mql\/\" target=\"_blank\" rel=\"noopener\">L<\/a>) and sales-ready leads (Sales Qualified Lead = SQL).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Leads are needed before you can get customers\u2014no one will dispute that. Therefore, CPA functions as a kind of intermediate calculation for CAC. <\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>DKK 150,000 in ad spend \/ 145 leads (SQL) = CPA of DKK 1,034 per lead.<\/li>\n\n\n\n<li>Conversion rate from lead to customer 8% = 12 new customers<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">In the example above, I get a quick idea of the cost per lead as well as the number of new customers. If it seems off, you can calculate CAC to get the full picture. <\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"1080\" height=\"180\" src=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-1.png\" alt=\"\" class=\"wp-image-27594\" srcset=\"https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-1.png 1080w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-1-300x50.png 300w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-1-1024x171.png 1024w, https:\/\/morningtrain.dk\/wp-content\/uploads\/2020\/03\/CLV-1-768x128.png 768w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"lavcac\">High vs. low CAC <\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Whether CAC is high depends on what the average customer is worth. If a customer is worth DKK 700 on average, then a CAC of DKK 15,000 is very high. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If, on the other hand, a customer is worth DKK 600,000, then a CAC of DKK 15,000 is completely out of this world.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Whether you should have a high or low CAC depends on what you, as a business, want to achieve. A low CAC aims to increase profitability, whereas a high CAC makes it possible to scale your business, as it opens up the option to buy customers at a higher cost\u2014meaning you can afford to buy more of the market. You can read more about that strategy <a href=\"https:\/\/morningbound.dk\/lad-ikke-roas-bremse-din-forretning\/\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a>.   <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If your customers have a high <a href=\"https:\/\/morningtrain.dk\/en\/the-marketing-dictionary\/#clv\">customer lifetime value <\/a>(CLV), you should also increase your CAC so you can acquire more customers who can generate more revenue over time.<\/p>\n\n\n                                            <\/div>\n        <div class=\"mt-blog-post-content__small-related-posts\">\n                                <\/div>\n    <\/div>\n    <\/section>\n\n","protected":false},"excerpt":{"rendered":"<p>CAC is an abbreviation for <b>Customer Acquisition Cost, <\/b>and it is a qualitative performance indicator (<a href=\"https:\/\/morningtrain.dk\/en\/what-does-kpi-mean\/hvad-betyder-kpi-2\/\">KPI<\/a>) intended to show the relationship between the money invested and how many customers you have acquired for that money.<\/p>\n","protected":false},"author":2,"featured_media":68662,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[396],"tags":[416,397],"class_list":["post-68661","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-data-insights","tag-strategy","tag-tracking"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What is CAC and how do you use it? | Morningtrain<\/title>\n<meta name=\"description\" content=\"CAC is a qualitative performance KPI. 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