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Cost per Acquisition (CPA)

Cost per Acquisition (CPA)

Noun
[kawst per ak-wuh-zish-uhn]

Cost per Acquisition (CPA) is a key performance indicator (KPI) in B2B SaaS marketing that quantifies the average expense incurred for acquiring a lead or new paid customer. It calculates the total cost spent on marketing campaigns and divides it by the number of acquired customers or conversions. CPA helps businesses evaluate the efficiency and profitability of their marketing efforts in order to optimize strategies and maximize ROI.

Example:

The finance team asked Marco to measure the cost per acquisition for his marketing campaign in order to measure the impact of it on the company's quarterly revenue.

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