Article

How to Calculate D2C CAC: Formulas for New & Blended

1-800-D2C · 1800dtc.com Free Intermediate

The definitive D2C-specific breakdown of the CAC you should actually track: new-customer CAC vs blended CAC, why the gap matters, and when to use each. From 1-800-D2C, one of the most respected operator resource hubs in the space.

  • New CAC = paid spend on acquiring first-time buyers; blended CAC spreads spend across all customers.
  • Board and LTV:CAC math uses blended; channel and scaling decisions use paid/new CAC.
  • Reporting only blended CAC hides paid-channel inefficiency until you try to scale.
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The question it answers

  1. How do I calculate CAC, and what's the difference between blended CAC and new-customer CAC?

Read with it

  1. A crisp, numbers-driven walkthrough of how the same month can show a ₹42 blended CAC and a ₹70 paid CAC - and why confusing the... eightx.co Article What Is Blended CAC vs Paid CAC? Eightx
  2. The canonical investor's-eye view of why LTV:CAC drives valuation, and why 3:1 became the rule of thumb. Read it to understand... a16z.com Article Why Do Investors Care So Much About LTV:CAC? Andreessen Horowitz (a16z)
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