Reference
Revenue Acquisition Cost
What it costs to acquire a dollar of revenue, wherever that dollar comes from. CAC prices a customer. RAC prices revenue, which lets expansion and new logos be compared on the same axis for the first time.
What it is not
Not an argument against acquisition.
Where it was staked
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RAC is the total cost to acquire one dollar of revenue. Split it by source and the numbers are damning: expansion dollars cost a third as much as new-logo dollars, and the commission plan runs backwards anyway.