Retention, churn & expansion · Core

Payback period

Also called: CAC payback

ELI5

Time required for contribution from a customer to recover acquisition cost.

Used in conversation

“The number is useful only if everyone calculates payback period the same way.”

Pitch context

You will see “Payback period” in go-to-market plans, sales forecasts, account reviews and commercial proposals when the discussion reaches retention, churn & expansion.

Why it matters: It helps a reader interpret retention, churn & expansion without confusing the measure, decision, role or evidence being discussed.

Sources & evidence · 2

Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.