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CAC payback period calculator

Work out how many months it takes a marketing channel to earn back what it cost to acquire a customer.

Input

CAC payback period calculator

Paste one or more marketing channels as "channel;CAC;monthly revenue;gross margin" and this tool works out how many months it takes each one to pay back its customer acquisition cost. It projects the monthly gross-profit contribution of an average customer, adds it up month by month, and reports when the cumulative total first covers the CAC — then sorts every channel from fastest to slowest payback so the ones worth doubling down on sit at the top.

The options control how realistic the projection is. Monthly churn shrinks the pool of paying customers over time, compounding month over month, so a channel that looks fast on paper can take longer once churn is factored in. Monthly expansion revenue does the opposite — it models upsells by increasing revenue per surviving customer each month, which pulls payback in. A target payback threshold flags each channel as within target, over by a number of months, or never reaching it inside a 20-year horizon. Table period sets how many months the table format prints, and currency controls how amounts are formatted.

Output comes in two shapes: a compact report line per channel with its payback period, target evaluation and total contribution, or a semicolon-separated table with one column per month — easy to paste into a spreadsheet. Both update live as you type or adjust an option, and the tool understands Windows and Unix line endings alike.

Everything runs locally in your browser. Cost, revenue and margin figures for your channels are never uploaded anywhere, so the calculator is safe to use with real budget numbers. Copy the result, download it as a .txt file, or send it back into the input to rerun with different assumptions.

FAQ

What format does the input need to be in?
One channel per line: "channel;CAC;monthly revenue;gross margin". For example "Paid search;1200;350;70" means a CAC of 1200, 350 in monthly revenue per customer, and a 70% gross margin.
How is the payback period calculated?
Each month's gross-profit contribution (monthly revenue × gross margin, adjusted for churn and expansion) is added to a running total. The payback period is the first month that running total reaches the CAC.
What happens if churn is high enough that a channel never pays back?
The calculator searches up to 20 years ahead. If the cumulative contribution never reaches the CAC in that window, the channel is reported as not reaching payback and sorted to the bottom.
What does the target payback option do?
Set it to the payback period your business considers acceptable. Each channel is then marked as within target, over target by a number of months, or never reaching it. Set it to 0 to turn off the evaluation.
Are my channel costs and revenue figures uploaded anywhere?
No. The calculation runs entirely in your browser using JavaScript — nothing you enter is sent to a server.