The One Marketing Metric Every Small Business Should Track

Understanding your Customer Acquisition Cost (CAC) is crucial for sustainable growth. CAC is calculated by dividing your total marketing spend by the number of new customers acquired.

Why CAC Matters:

• Budget Allocation: Identifies which marketing channels are most cost-effective.

• Profitability Analysis: Helps determine if your customer acquisition strategies are financially viable.

• Strategic Planning: Informs decisions on scaling marketing efforts.

  
  

Industry Benchmarks:

While CAC varies by industry, understanding your specific benchmarks can guide your marketing investments.

Strategies to Lower CAC:

• Optimize Marketing Channels: Focus on channels that yield the highest ROI.

• Enhance Conversion Rates: Improve website and landing page effectiveness.

• Leverage Referrals: Implement referral programs to acquire customers at a lower cost.

📊 Want to optimize your CAC? At Bosi & Co. Marketing, we assist small businesses in analyzing key metrics to drive profitability and build scalable marketing systems.