Increase Return on Marketing SpendYour customers are very much the be all and end all of your business. You need to get a good return on each customer so that your company will have the money it needs to remain viable and profitable in the future. If you have more customers canceling their accounts after freemiums or trial periods, you are not getting the lifetime value of the customer that you need for success. As you contemplate ways to strengthen your tech start-up and lower your customer acquisition costs, we can help you convert more customers into reliable paying accounts and assist you in lowering your CAC for your company.
In fact, you should calculate your CAC rate and compare it to your lifetime value of the customer, or LTV rate. If you have a rate that is higher than 50 percent, you need to do something now to lower this figure. This number indicates that something is wrong with your product or service, your customer service approach, or another aspect of your tech start-up. A number this high calls for you to reevaluate the way you are doing business. If you cannot see the problem that you are facing and need an objective viewpoint, you can rely on us to help you get this number lowered.
Another key reason you need to get this number as low as possible is to reassure your investors. In fact, no investor likes to be connected with a business that is paying more to acquire customers and losing money on customers who were counted on to be the lifeline of the business. Seeing money go out the door in such a manner makes investors uneasy and more apt to pull up stakes on you, leaving you with little to no financial backing. When you cannot afford to lose investors anymore than you can afford to lose paying customers, you should rely on our strategies to keep those accounts stable and profitable. We can help you retain investors, lower your CAC rate, and also help you qualify leads that will likewise convert into customers who will give you a good return on investment.
We can help you achieve this in several key ways. First, we can take a look at your sales methods to ensure you are selling to the right target audience. You need to sell to people who genuinely want to buy your products or services. It does no good to pitch sales to the public if you are met with few interested parties. We can help you narrow your targeted audience and convert more interested leads into stable sales.
We can likewise help you follow through with inquiries and use customer feedback for the betterment of your start-up. You need feedback from paying customers so that you can improve what you are selling. Once you start responding to customer-specific concerns ,you stand a better chance of lowering your CAC and getting a better return on your customer investment. You can then keep your investors and look forward to a profitable future.