Which of the following metrics is vital in identifying customer acquisition cost?

The metric that is vital in identifying customer acquisition cost is the measurement of marketing expenses relative to new customers. Customer acquisition cost (CAC) is calculated by taking the total costs associated with acquiring new customers, which includes expenses related to marketing and sales efforts, and dividing that by the number of new customers acquired in a specific period.

Understanding this relationship allows businesses to ascertain how much they are spending to bring in each new customer, which is crucial for assessing the efficiency and effectiveness of marketing strategies. By focusing on marketing expenses in relation to new customers, organizations can make informed decisions on budget allocation and optimize their marketing campaigns to improve profitability.

Sales team productivity, employee turnover rates, and customer service response time, while important metrics in their own rights, do not directly help in determining how much it costs to acquire new customers and therefore are not as relevant for calculating CAC.