Startup Killer: the Cost of Customer Acquisition | For Entrepreneurs
www.forentrepreneurs.com
FEBRUARY 2, 2010
To compute the cost to acquire a customer, CAC, you would take your entire cost of sales and marketing over a given period, including salaries and other headcount related expenses, and divide it by the number of customers that you acquired in that period. (In Those trials are then shown converting to paid customers at the rate of 10%.
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