CPA (Cost Per Acquisition)
Spend per conversion event (purchase, lead, signup) — channel-level.
Last updated: 2026-05-04
Definition
CPA is per-channel and per-conversion-event; CAC is blended at the customer level. CPA from Meta + CPA from Google can be averaged with weights (spend share) to compare against blended CAC. Cheaper CPA isn't always better — channels with low CPA often deliver lower-LTV customers.
How it applies in India
No India-specific behavior.
Related terms
- CAC (Customer Acquisition Cost)Total marketing + sales spend divided by new customers acquired in the period.
- LTV (Customer Lifetime Value)Total revenue (or gross profit) one customer generates across their entire lifetime.
- ROAS (Return on Ad Spend)Revenue generated per dollar spent on advertising. ROAS = revenue / spend. A ROAS of 3.0 means $3 revenue for every $1 spent.
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