ROAS and CAC. A Comparison of Two Important Metrics
NuSpark Consulting
OCTOBER 31, 2023
On the flip side, a low ROAS would signal the need to pivot—maybe by tweaking the ad creative or targeting parameters. But how do companies actually set these targets? A common target is an LTV to CAC ratio of 3:1, meaning the value of a customer should be three times the cost to acquire them. What is CAC?
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