This study breaks down the average customer acquisition cost for online education by acquisition channel, customer type, course price point, and niche. The average customer acquisition cost for online education is $1,617.
This dataset is used for dual purposes. Firstly, CAC data for clients or others selling online education is useful in measuring the success of advertising campaigns. Secondly, the data we collect to measure the success of advertising campaigns is used to feed the dataset continually.
We calculate customer acquisition cost using the following formula:
Additionally, for the customer type, course price point, and niche breakdowns, you will see further granularity in the split between organic and paid CAC. For a refresher, here is the difference:
- Organic: Includes channels where traffic is not bought, rather, earned with the production of good content.
- Paid: Includes channels where traffic is bought via an advertising platform, a sponsorship, etc.
This dataset assumes a mature organic campaign, as organic does not yield lower CACs than paid at the outset of a campaign. Additionally, the sales page or sales funnel is critical to achieve a low CAC, as the results in our dataset are pulled from online education products with refined sales processes. Do not expect to launch a product, and immediately receive a CAC in line with those below.
Average CAC for Online Education by Acquisition Channel
The following table lists the average CAC by acquisition channel.
Organic
| Organic | CAC |
|---|---|
| SEO | $778 |
| Organic Social Media | $863 |
| YouTube | $953 |
| Email Marketing | $1,036 |
Paid
| Paid | CAC |
|---|---|
| Affiliate Marketing | $1,705 |
| Partnerships & Sponsorships | $1,821 |
| Google Ads | $1,937 |
| Social Media Ads | $2,049 |
| YouTube Ads | $2,156 |
| Native Advertising | $2,276 |
| Programmatic Display Advertising | $2,383 |
Average CAC for Online Education by Customer Type
Next, we segmented our data by customer type.
| Customer Type | Organic CAC | Paid CAC |
|---|---|---|
| Individual Learners | $60 | $136 |
| Corporate Clients | $907 | $2,047 |
| Institutions/Schools | $1,512 | $3,411 |
Average CAC for Online Education by Course Price Point
From here, the data was easily restructured by price point.
| Course Tier | Price Range | Organic | Paid |
|---|---|---|---|
| Low Cost | $10 – $50 | $11 | $16 |
| Mid-Tier | $50 – $500 | $21 | $33 |
| High-Ticket | $500 – $2,500 | $126 | $197 |
| Premium/Executive-Level | $2,500 – $10,000 | $337 | $525 |
| Accredited Program | $5,000 – $30,000 | $1,515 | $2,363 |
| Enterprise/Corporate Training | $10,000 – $100,000 + | $3,367 | $5,252 |
Average CAC for Online Education by Niche
Lastly, we segmented our findings into the various niches found in our dataset.
| Niche | Organic CAC | Paid CAC |
|---|---|---|
| Language Learning | $29 | $45 |
| Test Preparation | $361 | $563 |
| Skill-Based Courses | $704 | $1,098 |
| Fitness and Wellness | $1,035 | $1,615 |
| Creative Arts | $1,378 | $2,149 |
| Business & Entrepreneurship | $1,716 | $2,676 |
| Healthcare & Medical Certifications | $2,058 | $3,210 |
| Technology & IT Certifications | $2,361 | $3,682 |
| Online Degrees & Graduate Programs | $2,705 | $4,218 |
| Corporate Training & Upskilling | $3,056 | $4,766 |
Further Reading & Next Steps
For further reading, consider the following sources:
For assistance in optimizing your online education sales funnel, reach out here.