How Much Can You Really Spend to Get a Customer?
- Jacob Curtis
- Oct 20
- 6 min read
A Profit-First Approach for Outdoor eCommerce Brands
“Suppose one of you wants to build a tower. Doesn’t he first sit down and calculate the cost?” — Luke 14:28 (CSB)
When Jesus told that story, He wasn’t talking about ad spend—but He might as well have been.
Today, every outdoor gear and apparel brand faces the same modern dilemma: “Can I actually afford to keep buying customers?”
Between privacy changes, inaccurate tracking, and rising ad costs, understanding your true return on marketing has never been harder. Platforms promise 4x ROAS, yet your bank account tells a different story.
This blog will help you regain clarity—with a faith-driven, Profit First approach to marketing stewardship. You’ll learn how to define your safe Customer Acquisition Cost (CAC), balance it with Lifetime Value (LTV), and align every ad dollar with your mission to build profit, not pressure.
Why CAC Is Crushing Outdoor Brands
The Growth Trap That Quietly Erodes Profit
Over the past three years, outdoor recreation brands have seen ad costs rise 40–70%, while conversion rates have stayed flat. Many founders respond by spending more to hit revenue targets—without realizing how much profit they’re giving up along the way.
Revenue looks exciting. Cash flow, on the other hand, tells the truth.
That’s why at Curtis Accounting Solutions, we teach a “profit-first marketing mindset.” Before you scale your ad budget, decide what profit you’ll keep. Then spend only what’s left—intentionally, within your Profit First allocations.
This approach flips the old “growth at all costs” mentality into what we call faithful stewardship: intention before expansion.
Understanding CAC and LTV: The Profit Compass
If you only take one number seriously in your marketing, make it this: LTV ≥ 3 × CAC.
Let’s unpack that.
CAC (Customer Acquisition Cost) = How much you spend to gain one paying customer.
LTV (Lifetime Value) = How much revenue that customer generates across all their orders.
If you spend $50 to acquire a customer, you should expect at least $150 in revenue over time to maintain a healthy 3:1 LTV:CAC ratio.
But that ratio alone doesn’t guarantee profit. You must also look at your gross margin and Profit First allocations to know if that $50 ad spend fits your cash flow reality.
If your margin per order is tight—say, 40%—you may need to reduce CAC or improve retention. Otherwise, you’re not scaling profitably; you’re just growing broke.
💡 Profit clarity begins when your cash accounts—not your dashboards—tell you the truth.
The Payback Window: How Fast Should CAC Return Profit?
In outdoor eCommerce, seasonality makes timing everything. You might earn back your ad spend eventually—but if it takes six months to break even, your cash flow will choke long before.
That’s where the payback window comes in. It measures how quickly your marketing returns the initial CAC through profit.
A healthy brand aims for a 1–3 month payback period. Longer than that, and your liquidity starts to tighten.
For example, if your first sale only recovers 50% of CAC, and the next purchase doesn’t happen for half a year, you’ll spend six months financing your customers. That’s money you could’ve used to buy inventory, pay your team, or save for taxes.
Profit First keeps you disciplined here: spend only what your cash flow can sustain, not what your ad platform predicts.
When Metrics Lie: ROAS vs. MER
If you’ve been tracking ROAS (Return on Ad Spend) from your Facebook or Google dashboards, here’s the truth: it’s probably lying to you.
Apple’s privacy changes shredded attribution accuracy. ROAS may look healthy on one platform but ignore how other channels contributed—or how your profit margin fits into the picture.
Instead, start tracking MER (Marketing Efficiency Ratio):
MER = Total Revenue ÷ Total Marketing Spend
Unlike ROAS, MER captures all marketing costs (ads, influencer fees, creative, email tools) against total company revenue.
If you spend $100,000 on marketing and make $400,000 in revenue, your MER is 4.0. That means every $1 in spend drives $4 in top-line sales.
A healthy MER for outdoor gear brands typically sits between 4.0–6.0, depending on margin. Below 3.0? It’s time to pause and reassess.
Finding Your Safe CAC: Stewardship Over Speculation
Here’s where the Profit First framework truly shines. Instead of asking “How much should I spend on ads?” ask:
“How much can I afford to spend, while still protecting profit?”
Start with your Profit First allocations (based on your Instant Assessment results):
Marketing—including CAC—must fit inside that 20% Operating Expenses allocation. If ad spend pushes you above it, you’re not stewarding your profit—you’re borrowing from your future.
“Profit comes before promotion.”
That’s not just financial wisdom—it’s biblical stewardship in action.
Mini Case Study: The $1M Gear Brand
Let’s put real numbers to this.
An outdoor gear company generates $1,000,000 in annual revenue. They allocate 10% profit ($100,000) and spend $200,000 on total marketing.
That gives them a MER of 5.0—a healthy sign that every $1 in marketing produces $5 in revenue.
But when they increase ad spend to $300,000 chasing faster growth, MER drops to 3.3. Suddenly, $70,000 of profit disappears.
Their top line grew, but their bottom line broke.
That’s why at Curtis Accounting Solutions, we coach clients to measure success not by revenue, but by cash flow stability and payback speed. Because sustainable growth is about stewardship, not speculation.
Aligning Marketing and Profit First
Marketing doesn’t get to eat first. Profit does.
Each allocation day (typically the 10th and 25th), review your CAC, LTV, and MER together. If performance slips, don’t panic—adjust your spend or strategy, not your profit targets.
A faithful Profit First rhythm means:
Daily: Monitor your Income account balance for trends.
Biweekly: Allocate funds into Profit, Owner’s Pay, Tax, and Operating Expense accounts.
Quarterly: Take 50% of your Profit account as a reward—proof that stewardship pays dividends.
This discipline keeps your marketing sustainable, your cash flow visible, and your peace of mind intact.
Faith, Wisdom, and Multiplication
When Jesus fed the 5,000, He didn’t multiply what they didn’t have—He multiplied what was managed well.
The same applies to your marketing.
God blesses order, not chaos. Stewardship isn’t about restriction—it’s about multiplication through wisdom.
When you measure twice and spend once, you create the conditions for growth that’s both profitable and peaceful.
That’s the real secret to marketing confidence: clarity, stewardship, and trust.
Checklist: How to Find Your Safe CAC
Here’s a simple 5-step plan to bring it all together:
Run a Profit First Instant Assessment Identify your current allocations and ideal target percentages. (See the guide here)
Calculate Your CAC and LTV Use your Shopify analytics and customer data to find how much each new customer costs vs. their total lifetime spend.
Determine Your Payback Window Track how long it takes to recover CAC in profit—not just revenue.
Align Ad Spend with Allocations Keep marketing within your 20% Operating Expenses limit. Adjust campaigns, not profit goals.
Monitor MER Monthly If MER dips below 3.5, review your marketing mix, reduce waste, and refocus on customer retention.
FAQ: Profit-First Marketing for Outdoor Brands
What’s a good CAC for a Shopify outdoor gear brand?
A healthy CAC depends on your average order value (AOV) and margins. Typically, CAC should not exceed 25–30% of your average customer’s lifetime gross profit.
How often should I review CAC and MER?
Monthly. Tie it to your Profit First allocations cycle so marketing decisions are made with real cash visibility.
Can I still scale aggressively with a Profit First system?
Absolutely. Profit First doesn’t restrict growth—it makes sure you grow profitably. You’ll know when your marketing budget can expand safely without harming cash flow.
What if my LTV:CAC ratio is below 3:1?
You have two levers: reduce CAC (optimize targeting, creative, or channels) or increase LTV (focus on retention, bundles, subscriptions).
Is this approach faith-based or financial?
Both. Stewardship is about aligning your financial strategy with biblical wisdom—clarity, patience, and purpose. That’s how you find peace in profit.
Related Guides to Continue Your Profit Journey
📘 7 Financial Mistakes That Put Outdoor Gear Sellers Out of Business – Learn the traps that crush cash flow and how to avoid them.
💡 The Cash Flow Survival Kit for Outdoor Gear Sellers – Five steps to stay profitable year-round.
⚙️ Profit First Starting Guide – Set up your six-account system and make profit predictable.
✂️ PURMS Action Guide – Cut wasteful expenses and get lean without sacrificing growth.
Final Word: Stewardship Leads to Strength
Outdoor founders are some of the most passionate entrepreneurs out there. You’re building brands that inspire adventure, connection, and freedom.
But freedom starts with financial clarity.
When you master CAC, LTV, and cash flow through the Profit First lens, you’ll no longer wonder if your ads are “working.” You’ll know—because your accounts will show you, every week, that your business is both faithful and financially sound.
Ready to Know Your Safe CAC?
It’s time to stop guessing your ad spend and start stewarding your growth.
We’ll walk through your numbers, identify your safe CAC, and build a plan to grow your outdoor brand—profitably and peacefully.
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