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customer acquisition cost

also referred to as: cac · customer acquisition costs

4 statements across 4 episodes · 1 bullish · 1 bearish · 4 people on the record · first statement Jun 11, 2018 by Caroline Moon · across every show →

Everything said about customer acquisition cost, oldest first

Jun 11, 2018
Insight
Caroline Moon: Lumping conference expenses into one line item artificially inflates CAC
“So, if you have an inexperienced bookkeeper or accountant, they're most likely going to lump all the money you spent on conferences for that period into a single line item, which would then overstate your CAC.”
Caroline Moon Jun 11, 2018 ▶ 7:33 Finance as Strategy: When and How Startups Should Build a Finance Function
Dec 5, 2018 positive
Insight
Chan: Engaging content lowers customer acquisition costs for transaction platforms
“Or if you're a transaction oriented company, if you can create more content, engaging content, you get more mind share, and that lowers your customer acquisition costs when you try to expand to new sectors.”
Connie Chan Dec 5, 2018 ▶ 3:50 When Advertising Isn't Enough
Jan 2, 2019 neutral
Assertion Not checkable as stated
Shafiq: Most customer success expenses must be classified as COGS, not CAC
“You could account for some of this as CAC depending on how much of upsells they're driving. And if you actually have a formula, That, you know, is put against the new ARR that they're able to drive, and you might be able to justify it as CAC. But mostly it's C…”
Hatem Shafiq Jan 2, 2019 ▶ 14:46 a16z Podcast | The Rise of the CCO
Feb 26, 2019 bearish
Assertion Not checkable as stated
Caldbeck: DTC customer acquisition costs often jump tenfold within two years
“We see a lot of DTC companies raise money, you know, with a CAC, let's call it 10 dollars, 30 dollars, and then over the course of the subsequent two years, it raises literally sometimes by an order of magnitude, and that is just killing their profitability.”
Ryan Caldbeck Feb 26, 2019 ▶ 4:01 a16z Podcast | Who's Down with CPG, DTC? (And Micro-Brands Too?)
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