Glossary

Target-margin CAC

The highest customer acquisition cost that still leaves the net margin you want on each order.

Try the Break-Even CAC Calculator All terms

Formula

Target-margin CAC = break-even CAC − (retail price × target net margin)

What it means

Break-even CAC leaves you no profit at all. Target-margin CAC subtracts the profit you want to keep (a share of the retail price) first, so it is the CAC to plan campaigns around.

Worked example

For a supplier price of $8.00 sold at $20.00 (2.5x markup), with 2.9% + $0.30 payment fees and a 3% returns allowance and a 15% target margin: $10.52 − $3.00 = $7.52.

Try your own numbers in the Break-Even CAC Calculator

See Target-margin CAC on real products

Product Score calculates it for every AliExpress product it scores, with a 0–100 Opportunity Score. Free plan, no card needed.

Start free See scored niches