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.
Want to know more? Contact us today.
Are you ready to grow your business now? If you’re ready to take the next step and make your business more profitable, call me directly at 403-879-4297 or email me at email@example.com
If you like the information you are receiving, please share this post.