Customer Acquisition: Tips for Measuring Performance
You've launched your marketing campaign and are gaining some customers. You think you are doing well but are you? Measuring your performance can show you where your marketing campaign is taking your business. Find out how you are standing in the market and make adjustments from there.
In this blog, we will discuss ways to measure your customer acquisition performance.
Your customers are your business. It can be your worst customers, mix of customers, or your very best customers. Knowing the what and why factors of your best customers helps you to segment, target, and position your key marketing campaigns to them. Let’s face it, with the best customer strategy approach you provide, more of what they want for the reasons why they want it. Your whole marketing model better be on that specific approach. In doing so, it builds a greater sincerity in your campaigns, your business, and your own reasoning of establishing a win-win environment for your best customers. Here are four tips you can do to get started today:
Tip # 1: Customer Acquisition Cost (CAC)
As we've discussed in previous blogs, customer acquisition cost is the total spent on marketing over a period of time divided by the number of customers gained during that period. Obviously, you want this number as low as possible. The lower your CAC is, the more customers you have gained.
Tip # 2 Average Lead Close Rate
The average lead close rate is important data to keep track of. If your numbers are low, it may indicate that the lead being given to your sales team is subpar. The quality of your lead will need to be checked. Make it clear to your team what makes a marketing qualified lead, a sales accepted lead, and a sales qualified lead. Having everyone on the same page will help give your marketing performance a jump.
Tip # 3 Marketing Content Return On Investment
Studies show that companies are spending 16% of their budget on marketing content and only 30% of it is actually being used. The head of marketing should use marketing content tracking software that will send content directly to the sales team. The software should have a content analytic component that can track ROI that is associated with each piece of content. The more often ROI is associated with a sale or deal, the greater the performance of the marketing team.
Tip # 4: Calculate Lifetime Customer Value
To get your lifetime customer value, multiply the average sale per customer by an average number of times the customer buys per year. Then multiply that number by the average retention time per customer. You can up the value of each customer by marketing products that tailor to their needs.
Tip # 5: Track Social Media Conversions
In today's business world one of the best marketing tools is social media. Many people are glued to their phones and laptops, receiving information constantly. There are three major metrics to keep track of lead conversions made on each different social media platform, customer conversions made on each social media platform and the percentage of traffic associated with a certain media platform. There are so many types of social media to choose from so knowing which ones are working best can save you a lot of time.
Copyright 2016 Viral Solutions LLC
by Thomas von Ahn | Chief Elephant Slayer
We help overwhelmed small business owners duplicate themselves – so business can be fun again.
Viral Solutions LLC is a Digital Marketer Certified Partner, an Infusionsoft Certified Consultant, a Google Partner – Certified in AdWords.
At Viral Solutions we are committed to seeing YOU succeed. It is our goal to grow your business with proven digital marketing strategies that will help your business for the long haul.
Stay Up To Speed in the Ever Changing World of Marketing!
Sign-up today for FREE, monthly marketing tips, loopholes, and news to EXPLODE your Return on Investment!
Share your knowledge and gain exposure by becoming a guest author on our blog! Learn how to write for us.