Paid Media Calculator
Work backwards from a deal, lead or traffic target to the ad spend it takes to hit it.
Inputs
The number of deals you aim to close in a given period
The percentage of leads that convert into paying customers
The percentage of website visitors that convert into leads
The average amount you pay for each click on your ads
The average annual revenue generated from each customer
The average number of years a customer stays with your business
Results
- Required Leads
- 50
- Required Website Clicks
- 2,500
- Total Ad Spend ($)The estimated total cost of your paid advertising campaign
- $12,500
- Cost per Lead ($)The average cost to acquire one lead
- $250
- Customer Acquisition Cost ($)The average cost to acquire one paying customer
- $1,250
- Customer Lifetime Value ($)The total revenue expected from a customer over their entire relationship with your business
- $20,000
- LTV:CAC RatioThe ratio between customer lifetime value and acquisition cost, a higher ratio indicates better unit economics
- 16.0:1