Discover your campaign's Cost Per Acquisition (CPA) using this free online calculator. Input your total ad spend and the number of conversions, then click calculate to gain instant insights into the cost-effectiveness of your advertising efforts.
Learn the fundamentals of Cost Per Acquisition and improve your marketing performance
Cost Per Acquisition (CPA) is a marketing metric that measures the total cost to acquire a paying customer. It helps businesses understand and optimize their customer acquisition spending across different marketing channels.
Total Marketing Spend ÷ Number of AcquisitionsThe CPA formula shows how much you spend on average to acquire each customer. A CPA of $50 means you spend $50 to acquire one customer.
Example:
$10,000 spend ÷ 200 customers = $50 CPACost Per Acquisition varies significantly across industries due to differences in product value, sales cycle length, and competition. Here's a breakdown of typical CPA ranges by industry:
Improve your audience targeting:
Improve your conversion funnel:
Optimize your marketing mix:
Improve your messaging:
Common tracking oversights include:
Attribution mistakes include:
Quality considerations:
Strategic mistakes include:
Advanced channel analysis:
Analyze CPA by segment:
Beyond basic CPA:
Beyond the basic CPA formula, these advanced calculations provide deeper insights into your acquisition efficiency:
(Marketing Costs + Sales Costs) ÷ New CustomersTrue CPA includes all costs associated with acquiring a customer, not just advertising spend.
Example:
($5,000 + $2,000) ÷ 100 customers = $70 true CPACustomer Lifetime Value ÷ CPALTV:CPA Ratio helps determine the long-term profitability of your acquisition strategy.
Example:
$300 LTV ÷ $50 CPA = 6:1 ratio(Revenue - CPA × Customers) ÷ CustomersProfit per Customer shows how much you make after accounting for acquisition costs.
Example:
($20,000 - $50 × 100) ÷ 100 = $150 profit per customer