Understanding how much it costs a startup to acquire a new customer is crucial for investors. Lower CAC relative to the lifetime value of a customer (LTV) suggests the company has an efficient marketing strategy and a product that meets market demand. Investors will look for startups with a CAC that demonstrates sustainability and scaling potential.

Understanding how much it costs a startup to acquire a new customer is crucial for investors. Lower CAC relative to the lifetime value of a customer (LTV) suggests the company has an efficient marketing strategy and a product that meets market demand. Investors will look for startups with a CAC that demonstrates sustainability and scaling potential.

Empowered by Artificial Intelligence and the women in tech community.
Like this article?

Interested in sharing your knowledge ?

Learn more about how to contribute.