Work out blended, paid, and organic CAC from one month of spend, then see CAC payback and your LTV to CAC ratio, and what happens when search brings more customers.
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Blended CAC
$1,067
$32,000 spend / 30 new customers
CAC payback
8.9 months
Under 12 months is a common target.
Organic vs paid CAC
$500 vs $1,200
LTV to CAC
3.7 : 1
About 3 : 1 or better is a common target.
Today it brings 33%. Same number of customers, at today's organic and paid CAC.
Blended CAC
$950
now $1,067
Payback
7.9 months
now 8.9 months
LTV to CAC
4.2 : 1
now 3.7 : 1
Payback is the first month the blue margin bar reaches the grey CAC bar. Churn isn't applied here, so this is one customer who stays.
Blended CAC $1,067
Chung Digital AI
Get a plain-English read of your unit economics: whether growth pays for itself, what drives it, and what to look at next. It reads only the numbers below.
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Customer acquisition cost (CAC) is what it costs, on average, to win one new paying customer. For a SaaS company it covers ad spend, SEO and content, and the sales and marketing salaries and tools behind them.
CAC only means something next to what a customer is worth. That is why this calculator also shows lifetime value, the LTV to CAC ratio, and how many months of margin it takes to earn the CAC back.
CAC = sales and marketing spend / new customers
With your numbers:
$32,000 / 30 = $1,067
Use the same period, usually one month or one quarter, for spend and customers.
Ads, SEO and content, sales and marketing salaries, and the tools they use. Leave out product and support costs.
Only customers who started paying in the period. Free signups and trials don't count yet.
Total spend divided by new customers gives blended CAC. Do the same per channel to see which one wins customers for less.
Paid channels charge for every click, so paid CAC rises when you scale. SEO costs more up front, but a page that ranks keeps bringing customers without paying per visit, so organic CAC tends to fall as content builds up.
The what-if tile above shows what happens to blended CAC and payback when search brings a bigger share of new customers at today's organic CAC. It is an estimate, not a forecast, and it assumes the same number of new customers.
Our SaaS SEO services are built to grow the organic share of your signups. See what that could be worth with the SEO ROI calculator, or request a free SEO audit.
CAC = total sales and marketing spend in a period / new paying customers in the same period. For example, $32,000 of spend and 30 new customers gives a CAC of about $1,067.
Ad spend, SEO and content costs, sales and marketing salaries and commissions, agencies, and the tools those teams use. Product development, hosting, and customer support are usually left out.
There is no single number, because it depends on what a customer pays you. Judge CAC against lifetime value (aim for about 3 times CAC) and payback (often under 12 months for SMB SaaS).
Blended CAC divides all spend by all new customers, including referrals and direct signups. Paid CAC only counts paid ads and the customers they brought. Blended looks better when organic and word of mouth are strong, so check both.
The number of months of gross margin it takes to earn back what you spent to win a customer: CAC / (monthly revenue per account x gross margin).
Search traffic doesn't charge per click. Once pages rank, they keep bringing visitors, so the cost per customer from organic search tends to drop over time and pulls blended CAC down.
Yes. We save the numbers you enter for 12 months, with your IP address and approximate location, so we can see how the calculator is used and improve it. They also appear in the page address once you change them, so you can share or bookmark a result. If you use the AI explanation, the numbers are sent to our AI provider to write it. See our privacy policy.