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Unit economics
10 toolsUnderstand acquisition, margins and customer profitability.
Customer acquisition cost
Calculate acquisition spend per new customer.
Customer lifetime value
Estimate gross-profit lifetime value from revenue, margin and churn.
LTV:CAC ratio
Compare estimated customer gross profit with acquisition cost.
Break-even
Estimate the monthly sales volume needed to cover your cost base.
CAC Payback
Estimate the months of customer gross profit needed to recover acquisition cost.
Gross Margin
Measure revenue left after the direct costs of delivering the product.
Contribution Margin
Measure what each sale contributes toward fixed costs.
Average Order Value
Calculate net revenue per completed order and translate volume into revenue.
Target Margin & Break-Even Price
Solve a gross-margin price target and the price needed to cover a planned cost base.
Discount Impact & Volume Recovery
See what a price reduction costs and the volume needed to preserve contribution.
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