Cost per acquisition

CPA calculator

Enter your ad spend and conversions to see what each customer, lead or sign-up costs — or plan the budget for a target CPA.

Calculate
$

Your CPA

$25.00

cost per acquisition

$500.00 ÷ 20 = $25.00

The CPA formula

CPA = total cost ÷ conversions

Cost per acquisition is the metric closest to money: it says what you paid for each result that matters to the business. Impressions and clicks are steps on the way; CPA is the price of the outcome.

Two ways to lower CPA

Because CPA = CPC ÷ conversion rate, there are only two levers:

Target CPA

Set your target from the profit per customer, not from industry averages. If a customer is worth $60 in profit and you want to keep at least half, your target CPA is $30. Switch the calculator to Conversions to see how many you need from a given budget at that price.

Frequently asked questions

How do you calculate CPA?

Divide total ad spend by the number of conversions. $500 that produced 20 sales is $500 ÷ 20 = $25 per acquisition.

What counts as a conversion?

Whatever action you are paying to get — a purchase, a sign-up, a lead form, an app install. Define it once and keep it the same when you compare campaigns.

What is a good CPA?

Any CPA below the profit a customer brings in. If an order earns you $60 in profit, a $25 CPA leaves $35; a $70 CPA loses money on the first order (it may still pay off if customers come back).

How are CPA, CPC and conversion rate related?

CPA = CPC ÷ conversion rate. At $1.25 per click and a 5% conversion rate, each conversion costs $1.25 ÷ 0.05 = $25.