The first step toward Customer Acquisition is understanding your customer base and your target audience. Doing this requires conducting market research, including studying competitors and your target audience. Several sources, including Pew Research Center, the U.S. Census Bureau, and more, can help you understand what makes your customers tick. Once you have the answer to these questions, you can plan and execute your Customer Acquisition strategy. You can also use the results of this research to monitor your marketing efforts and identify areas of weak performance.
The goal of any marketing strategy is to reduce the customer acquisition cost (CAC) and maximize ROI. A lower CAC doesn’t always translate to better marketing. For example, it could mean underspending on marketing activities or missing growth opportunities. A better approach is to use CAC to determine the value of a customer and how much it costs to acquire them. In addition, you should also measure CAC against the lifetime value of a customer. This measure can be calculated by dividing the cost of acquiring a customer by the value of their spending power (LTV).
When it comes to audience size, Facebook and Instagram are great for reaching a larger audience. In contrast, Twitter and YouTube allow for one-to-one messaging and longer video content. SEO, on the other hand, is the written content that’s optimized for search engines. Paid social advertising, on the other hand, involves short, compelling ads with high visual impact. But what about the audience size? How do you measure that? It’s best to look at the size of your audience and track the growth over time.