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First Edition  ·  Q1 2026  ·  Archive

Acquisition Compass, Q1 2026.

The first edition, kept on the record. The current edition is Q2 2026, and it reads on methodology v6.0.

Status

This edition is superseded.

Everything on this page was published in Q1 2026 under methodology v3.1, which used a 3 layer CAC pyramid and scored on lifetime value over Operating CAC.

Methodology v6.0 rebuilt the first quarter from primary filings before drawing any comparison, added 3 issuers to the panel, moved the published ratio to 5 years of discounted contribution over Acquisition Investment, and stripped purchased portfolios from every denominator. The Q1 figures shown in the current edition come from that rebuild, so the figures on this page do not tie to it.

Read this page as a record of what was published in April 2026. Use the Q2 2026 edition for any current comparison.

Q1 2026 Results

Cards with no annual fee.

Lifetime value over Operating CAC, as published in the first edition.

IssuerRatioCACLifetime valueOpens
1Wells Fargo3.1x$128$397736K
2Citi3.0x$134$397798K
3Bank of America2.5x$157$397698K
4Capital One2.5x$173$4252,691K
5JPMorgan Chase2.3x$198$4531,638K
6American Express1.8x$247$453744K

Cards with an annual fee

IssuerRatioCACLifetime valueOpens
1Capital One8.1x$311$2,5281,449K
2Citi8.1x$241$1,953532K
3American Express7.7x$445$3,4471,736K
4JPMorgan Chase7.7x$357$2,758702K
5Bank of America7.3x$283$2,068232K
6Wells Fargo7.0x$231$1,609184K

Consumer fintechs

On isolated card economics, SoFi read 0.9x, PayPal 0.7x and Chime 0.7x. All 3 build toward a deeper member relationship and monetize the customer beyond the card alone, so the card economics resolve inside the wider franchise. Block carries no credit card product, and its card columns read n/a.

Published Refinements

The 3 refinements disclosed at the time.

Method Used

Methodology v3.1, in brief.

Operating CAC divided allocated marketing expense by gross new accounts. Channel-Loaded CAC added branch personnel at $250 per consumer checking open and $400 per small business checking open, plus $100 per retail account for identity verification. Incentive Yield Offsets carried sign up bonus and reward expense separately under ASC 606 contra-revenue.

Lifetime value ran as annual revenue per active times margin times an NPV factor, with margin at 45% on no fee cards and 55% on fee based cards, tenure at 6 years for no fee, 9 years for fee based and 5 years for fintech, and a 10% discount rate. Scoring bands read Excellent above 5x, Healthy from 3x to 5x, Marginal from 1.5x to 3x, and below 1.5x on isolated card economics.

Version 6.0 replaced this stack. The current definitions live in the Q2 2026 methodology, and the first edition write up sits in Edition 307.