Most SaaS leaders underestimate Customer Acquisition Cost (CAC) by 2–4x, leaving them with flawed unit economics, short runways, and failed fundraising rounds. This guide explains why your true CAC is higher than you think, how to calculate it correctly, and practical strategies to bring it under control.
Acquiring customers is the biggest challenge any B2B software company has. Unless you are lucky enough to have an award-winning solution that sells itself like the mythical product-led growth companies (Slack, Dropbox, and Expensify), you have to grind it out like everyone else. The ugly truth of B2B SaaS customer acquisition cost is that you need to fill the top of your sales funnel with hundreds of thousands of suspects to get a reasonable number of closed sales.