Article

What Is Blended CAC vs Paid CAC?

Eightx · eightx.co Free Intermediate

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 two wrecks your scaling decisions. Great companion piece that makes the blended-vs-paid distinction concrete.

  • A worked example shows how blended CAC masks true paid-channel cost.
  • Set your max-CAC ceiling against contribution margin, using paid CAC.
  • Marginal CAC rises as you scale - the next customer costs more than the average.

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. The definitive D2C-specific breakdown of the CAC you should actually track: new-customer CAC vs blended CAC, why the gap... 1800dtc.com Article How to Calculate D2C CAC: Formulas for New & Blended 1-800-D2C
  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)
eChai Partner Brands The partnership →