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Expenses + salaries + commissions and bonuses + overhead for the marketing department only
Program and advertising spend + salaries + commissions and bonuses + overhead in a month, quarter or year

Marketing Percentage of Customer Acquisition Cost (CAC)

The Marketing Percentage of Customer Acquisition Cost is the marketing portion of your total CAC, calculated as a percentage of the overall CAC.

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Why Marketing Percentage of CAC Matters

The Marketing Percentage-CAC can show you how your marketing team's performance and spending impact your overall Customer Acquisition cost. A high in Marketing Percentage-CAC can mean a number of things:

  1. Your sales team could have underperformed (and consequently received lower commissions and/or bonuses).
  2. Your marketing team is spending too much or has too much overhead.
  3. You are in an investment phase, spending more on marketing to provide more high quality leads and improve your sales productivity.