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Why Making Something Customers Want Isn’t Enough

Software By Rob

A Look at One Acquisition Approach – Google AdWords. If you can convert 1% of your visitors to customers this means you need 100 clicks for each purchase, making your cost per acquisition (CPA) $400. your CPA jumps to $800. 40, your CPA will be $40. The reason is that the answer is pretty scary in most cases.

CPA 73
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How to create a profitable Freemium startup (spreadsheet model included!)

andrewchenblog.com

To become profitable using a freemium business model, this simple equation must hold true: Lifetime value > Cost per acquisition + Cost of service (paying & free) Said in plain english, the lifetime value of your paying customers needs to be greater than the cost it took to acquire them, plus, the cost servicing all users (free or paying).

CPA 51
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How to Create a Marketing Funnel by Responding to Customer Behavior

ConversionXL

Cost per acquisition (CPA). Total spent to acquire new customers via a specific channel or campaign / New customers acquired via the same channel or campaign = CPA. Total media spend / new customers acquired via media = CPA. If you had 200 subscribers and lost 10 in the last year, your churn rate is 5%).

Customer 140