Your Customer Acquisition Cost or CAC is the total cost spent on acquiring new customers (marketing/sales expense) divided by the number of new customers acquired during that particular period.
If you invested $1000 in marketing/sales in a one month period and acquired 10 new customers as a direct result of that marketing and promotion, then your acquisition cost is $100 per new client.
All successful businesses measure their acquisition costs. Luckily, promotional activity on the web can be measured very accurately.
Make sure that the pricing of your products and services cover you CAC.
If you would like to know more in detail, contact us at cnelsonjeffers@breckshire.com.
- To Hire or Not to Hire a Full-time Marketing Director? - September 17, 2019
- 5 Tactics to be More Engaging on Social Media and Gain More Customers - September 14, 2019
- Ways to Grow Your Business through Storytelling - September 13, 2019
- Reputation Marketing and How It Can Affect Your Business - September 10, 2019
- 5 Tactics to be More Engaging on Social Media and Gain More Customers - September 7, 2019
- Benefit from Business Blogging - September 5, 2019
- Taking Advantage of Reputation Marketing to Gain Customer Trust - September 2, 2019
- Local Business Alert! The Local Search Results will Give You More Business Results - August 30, 2019
- Get More Customers! Make Sure your Website is Mapped Out Along the Customer’s Journey - August 29, 2019
- Online Advertising Benefits Over Traditional Advertising - August 27, 2019