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CAC

Customer Acquisition Cost. Total marketing + sales cost per customer.

Related Terms in E-Commerce

AOV
Average Order Value. Revenue / orders. Increasing AOV cheaper than new customers.
LTV
Lifetime Value. Total revenue from a customer over their relationship.
MER
Marketing Efficiency Ratio. Total revenue / total marketing spend.
ACoS
Advertising Cost of Sale. Ad spend as % of attributed revenue (Amazon).
TACoS
Total ACoS. Ad spend as % of TOTAL revenue (organic + paid).
GMV
Gross Merchandise Value. Total goods sold through marketplace before deductions.
Cart Abandonment
% of carts created but not purchased. Average 70%. Retargeting recovers 10-15%.
CLTV
Customer Lifetime Value. Same as LTV but emphasizes the customer dimension.

METRIX — Advertising Intelligence Platform