Definition: Agent Acquisition Cost (AAC) is the total expense a brokerage incurs to recruit a new agent, including marketing, onboarding, and incentives. It’s a key metric for measuring recruiting efficiency. For example, if you spend $5,000 on recruiting and hire 10 agents, your AAC is $500 per agent. Monitoring AAC helps brokerages optimize budgets and improve profitability.
Formula: AAC = Total Recruiting Spend ÷ Number of Agents Hired
Agent Acquisition Cost (AAC)
« Back to Glossary Index
