For the complete documentation index, see llms.txt. This page is also available as Markdown.

CPO, CPA, and CAC

The terms CPO, CPA and CAC can be confusing because the terms are often interchanged.

CPO (Cost per Order): Cost To Acquire An Order.

CPA (Cost per Acquisition): Cost To Acquire a New Customer

CAC (Customer Acquisition Cost): Same as CPA -> Cost to Acquire a New Customer

Calculations for Each Metric

That this report from Google Ads:

Example of Google Ads Report

We Ran a campaign that Generated 5 orders and we spent $237 on that campaign. By looking at our UTM campaign we found 3 New Customers and 2 Existing Customers placed an order.

  • CPO = $237 / 5 = $47.4

  • CPA = $237 / 3 = $79

  • CAC = $237 / 3 = $79

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