You can calculate your actual customer acquisition cost (CAC) from LSA by dividing your total advertising and management costs by the number of new customers acquired through LSA.
Formula:
CAC = Total LSA Costs รท Number of New Customers Acquired
For example, if you spend $2,000 on LSA advertising and $500 on management fees, and acquire 10 new customers, your CAC is $250.
Include advertising spend, agency fees, and other direct campaign costs. Use CRM records to distinguish new customers from repeat enquiries, and track completed jobs rather than counting every billable lead as a customer.