Marketing

CPA

Cost Per Acquisition

What it costs, on average, for one desired action from an ad — like a sign-up, download or sale. Similar to CAC but usually measured per campaign or action.

Example

A ₹10,000 ad campaign that produces 40 sign-ups has a CPA of ₹250 per sign-up.

Formula

CPA = Ad Spend ÷ Number of Conversions

Related terms

ROAS

How much revenue each rupee of advertising brings back. A ROAS of 4 means ₹4 earned for every ₹1 spent.

CAC

The average amount you spend to win one new paying customer — all your marketing and sales costs divided by how many customers that money brought in.

CPC

How much you pay each time someone clicks your ad.

CPL

What you pay, on average, to get one potential customer (a lead) to show interest — before they actually buy.

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