Which channels actually pay back?

CAC & Payback Calculator

CAC, payback period, LTV, and LTV:CAC for every acquisition channel — with an invest / hold / cut verdict. Your blended average is hiding the truth.

TL;DR

Blended CAC is an average, and averages hide the channels losing money. In the example, referral pays back in 0.6 months at 38:1 while influencer one-offs run 0.77:1 and lose money on every customer — $5,000/mo waiting to be reallocated.

instant download · .xlsx · 30-day guarantee

The problem

“Our CAC is fine.” Maybe. The average is lying to you.

Blended CAC tells you what acquisition costs on average — and averages bury the channels quietly losing money on every customer. One channel can pay back in three weeks while another takes 16 months, and the single number hides both.

Break it down per channel with payback period alongside LTV:CAC, and the decisions appear: where to pour more in, where to hold, and which spend to reallocate today.

38:1

best channel's LTV:CAC in the example — 0.6-month payback

0.77:1

worst channel — loses money on every customer acquired

$212

blended CAC that hides both extremes

$5,000

monthly spend in Cut channels, waiting to be reallocated

Example figures are computed live from the workbook's seeded sample channels — not a claim about any real business.

What's inside

One sheet. Unit economics for every channel.

One .xlsx — open it in Excel, Google Sheets, or Numbers and rank your channels today.

Channels tab

List every acquisition channel. Enter spend, new customers, gross margin per customer per month, and lifespan; the sheet returns CAC, payback, LTV, LTV:CAC, and a verdict for each — example data filled in, ready to overwrite.

Acquisition Dashboard

Blended CAC, total monthly spend, total new customers, and the standout line — the exact monthly spend sitting in Cut channels you could reallocate to Invest channels today.

The verdict

Every channel gets one of three calls — Invest, Hold, or Cut — from its LTV:CAC ratio and payback period together, not a single average.

Payback period, surfaced

The metric most CAC math skips and CFOs live by — how many months until a channel's customer pays back what it cost to acquire them, computed per channel.

How the verdict works

Ratio and payback, then the call

CAC is spend over new customers; payback is CAC over monthly margin; LTV is monthly margin times lifespan. The ratio and the payback together set the verdict:

  • Invest LTV:CAC of 3+ and payback within 12 months — pour more in
  • Hold workable but not strong — tighten CAC or lift retention before scaling
  • Cut LTV:CAC under 1, or payback beyond 18 months — reallocate the spend

The built-in example · 5 channels

Best channel (referral)38.4:1 · 0.6mo
Worst channel (influencer)0.77:1 · Cut
Blended CAC$212
Invest / Hold / Cut2 / 2 / 1

Same blended average, five very different channels — the per-channel verdicts are where the decisions live.

Try it

Break acquisition down by channel

Blended CAC

$212

Spend in Cut channels / mo

$5,000

Invest / Hold / Cut

2 / 2 / 1

Total monthly spend

$23,500

This is the live engine. Your numbers here reset when you reload. The kit saves every channel, computes CAC, payback, LTV and LTV:CAC, and shows the exact monthly spend sitting in Cut channels you could reallocate today.

Get the kit — $49
ChannelSpendCust.GM/moLife moCACPaybackLTV:CACVerdict
$250.6mo38.4Invest
$1002.5mo9.6Invest
$2506.6mo2.3Hold
$3208.0mo2.3Hold
$62515.6mo0.8Cut

Margin per customer and lifespan are your estimates. Gross-margin LTV (not discounted/NPV) and a simple model — a unit-economics read, not a forecast or financial advice.

Why it's different

Payback, not just a ratio

Reports payback period

The metric your cash flow actually feels — a 16-month payback can 'work' on paper and still starve the business. Counted per channel.

Per channel, not blended

Breaks the average apart so the channels quietly losing money can't hide behind the ones that pay back fast.

A tool, not advice

It does the math on your own estimates of margin and lifespan. Gross-margin LTV, simple model — you make the call.

Payback period is the metric founders skip and CFOs live by. A 16-month payback works on paper and starves you in real life.

Who it's for

Clear about the lane. No inflated promises.

Built for you if…

  • You spend on more than one acquisition channel and want to compare them properly
  • You can estimate spend, new customers, monthly margin, and lifespan per channel
  • You care about payback period, not just a CAC number
  • You'd rather reallocate budget on evidence than on gut feel

Not for you if…

  • You want a live integration that pulls spend and conversions automatically
  • You can't separate spend or customers by channel even roughly
  • You need discounted/NPV LTV and cohort modeling, not a fast read

Common Questions

The questions founders actually ask before they reallocate ad budget.

It's a one-time spreadsheet that breaks acquisition down by channel. You enter monthly spend, new customers, the gross margin one customer brings per month, and average lifespan; it computes CAC, payback period, LTV, and LTV:CAC for each channel, gives an invest / hold / cut verdict, and shows the blended CAC plus the monthly spend sitting in cut channels.

Step up to the cockpit

CAC and payback are the scoreboard; the pipeline is the game. Pipeline Commander reads your CRM and grades pipeline health, coverage, and at-risk deals — the founder-grade Executive Suite cockpit. $249.

Get the kit

See which channels pay back this afternoon.

Instant download, yours to keep, lifetime updates. Reallocating one losing channel usually covers it many times over.

  • 3-tab .xlsx: Start Here, Channels, Acquisition Dashboard
  • CAC / payback / LTV / LTV:CAC engine + invest / hold / cut verdict
  • Blended CAC plus the spend sitting in Cut channels, totaled
  • Works in Excel, Google Sheets, or Numbers · 30-day guarantee
$49

one-time

Secure checkout · instant access

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