Channel CAC

Metric

Channel CAC is the acquisition cost for a single channel, calculated using only that channel's spend and self-reported conversions.

Layman Explanation & Analogy

Channel CAC looks at one ad network in isolation. For example, if you spent $2,000 on LinkedIn Ads and LinkedIn says it brought you 20 new customers, your LinkedIn Channel CAC is $100.

Mathematical Formula

Channel CAC = Channel Ad Spend ÷ Channel-Attributed New Customers

Worked real-world example

Google Ads spends $5,000 and claims 100 new customer signups, resulting in a Google Channel CAC of $50.

What people get wrong & common traps

Because ad platforms cannot see each other, multiple channels can claim the exact same customer. If a customer clicks a Google ad and later a Meta ad before signing up, both Google and Meta will claim the conversion, making both channels look twice as cheap as they actually were.

Related terms

Blended CAC
ROAS
Attribution window