Customer Acquisition Cost (CAC)
METRIC
REVENUE OPERATIONS
A core financial metric measuring the total sales and marketing expenditure required to win a single new customer.
METRIC
REVENUE OPERATIONS
Net Promoter Score (NPS)
A customer-feedback metric calculated by subtracting the percentage of detractors from the percentage of promoters on a standard recommendation scale.
BUSINESS RELEVANCE
It supports forecasting, prioritisation and cross-functional decisions when definitions and source data are consistent.
IMPLEMENTATION EXAMPLE
A cross-functional team applies Net Promoter Score (NPS) in a production initiative, defines ownership and success criteria, tests representative scenarios, monitors outcomes and records corrective actions before scaling.
LIMITATIONS
The measure or method can mislead when definitions, cohorts, margins, periods or source systems differ. It should not be interpreted without context.
TECHNICAL EXPLANATION
A customer-feedback metric calculated by subtracting the percentage of detractors from the percentage of promoters on a standard recommendation scale. It should be defined with an explicit population, period, data source and calculation rule. Revenue teams should govern lifecycle stages, ownership and reconciliation so the value is comparable over time and connected to commercial decisions.
Secondary Topics
Experience Design
Sources
Salesforce — Revenue Operations resources — https://www.salesforce.com/resources/; HubSpot — Sales and marketing metrics — https://www.hubspot.com/resources
Related terms
Conversion Rate (CVR)
METRIC
PERFORMANCE ADVERTISING
The percentage of total visitors or interactions that successfully complete a designated valuable marketing or transaction goal.
Cohort Retention
METRIC
REVENUE OPERATIONS
A metric tracking the proportion of a specific customer cohort that remains active and engaged across successive intervals.
Impression Share
METRIC
PERFORMANCE ADVERTISING
The percentage of total eligible ad impressions that a paid campaign successfully captures within a target auction.
Customer Effort Score (CES)
METRIC
EXPERIENCE DESIGN
A customer experience survey metric evaluating the ease of resolution experienced by users during service interactions.