Business Metrics
CAC (Customer Acquisition Cost)
The total cost of acquiring a new customer, including marketing, sales, and related expenses divided by the number of customers acquired.
Biological Context
CAC parallels foraging costs—the energy expended to acquire food. Just as predators must balance hunting effort against caloric gain, businesses must balance acquisition costs against customer value. Efficient acquisition means better energy economics.
Business Application
Sustainable businesses require CAC significantly lower than customer lifetime value (LTV). CAC/LTV ratio indicates business model health. Rising CAC often signals market saturation or competitive pressure.