Delighted or Promoter.io to conduct NPS surveys: Promoter – NPS Book my free SaaS marketing consultation 9 ways to lower your customer acquisition cost Now that you know what CAC is, why it’s important, how to calculate it, and other metrics you should track, let’s look at nine ways to lower your customer acquisition cost. 1) Optimize your client’s personality Your customer or buyer persona defines who your ideal customers are: it includes your target audience demographics, pain points, and what encourages them to buy, among other things: Buyer Persona – Maggie Manager If you’re new to the business, create a buyer persona that matches your target and optimize it over time. If you already have a buyer persona in place, use customer data to optimize it. For example, if your current buyer profile indicates that your ideal customer is someone who earns more than $250,000, but your existing customer
base consists of people who earn more than $400,000, you should
update your buyer persona with this information. This allows you to improve your marketing efforts and target those who are more likely to convert. Bring your sales, marketing, and customer support team together to find more details about your existing customers. Each service has specific customer information that can help you optimize your buyer persona. Dive Deeper: * The Ultimate Guide to Developing Buyer Personas (with Templates!) * 4 Steps to Discovering Your Ideal Buyer Persona for B2B Marketers 2) Identify friction Norway Phone Number points and eliminate them Friction points are anything that drives potential customers away. There may be more than one sticking point, such as a slow loading site, no free trial, missing features, or no 24/7 customer support. The best way to identify sticking points is to ask your customers directly. Create feedback surveys at every major touchpoint in the customer journey. You can even consider sending email surveys to
prospects who entered your sales funnel but bounced back
without converting. Here are some questions a SaaS company should ask in the feedback survey: Are there any issues that need to be resolved before subscribing? What made you quit the sales process before converting? Is there anything we could have done better? What did you expect from us when you chose to register for our services? Is there anything that would make you happy and more likely to convert, like discounts, immediate customer support, etc.? Another way to identify friction points is to integrate a customer experience management tool. They are specially designed to monitor user experience on your website and other channels. Also, analyze the least used features of your product. Chances are, your ideal customers either don’t want these features, or they aren’t as efficient as they would like.
Once you’ve determined all the pain points, make the effort to eliminate them to increase your conversion rate and lower your CAC. 3) Reduce reliance on paid advertising It’s very difficult to lower your CAC if your SaaS business depends on acquiring customers through paid advertising. The return on investment for paid advertising is linear. Therefore, it is essential to leverage other marketing strategies, such as SEO, social media marketing, and email marketing. Here are some great ways to reduce reliance on paid advertising in order to acquire customers: Make sure your website ‘s technical SEO is on point. Use tools like SEMrush to perform site audits to figure out what’s stopping your website from ranking. Do keyword research to identify the terms your customers use to search for your product. Incorporate these phrases on your website to increase your chances of appearing at the top of the SERPs.