The Golden Ratio of SaaS
The LTV:CAC ratio measures the relationship between the lifetime value of a customer and the cost to acquire them. In 2026, a 3:1 ratio is considered the industry benchmark for a healthy SaaS business.
The ultimate efficiency metric: Are you spending too much to acquire a customer?
Target: > 3.0x
The LTV:CAC ratio measures the relationship between the lifetime value of a customer and the cost to acquire them. In 2026, a 3:1 ratio is considered the industry benchmark for a healthy SaaS business.