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How to Track and Improve Ecommerce Customer Acquisition Effectiveness

ConversionXL

Measuring customer acquisition for peak effectiveness How to calculate ecommerce customer acquisition cost Calculate much your customers are worth: LTV MRR, churn rates, and other factors that affect your LTV/CAC ratios Find and fix customer acquisition funnel leaks 5 customer acquisition strategies to increase sales and loyalty (with examples) 1.

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Acquire New Users by Adding Growth Hacking to your Marketing Strategy

ConversionXL

It’s why Canva can call itself a multibillion-dollar platform and how ConvertKit pulled itself up to compete with goliaths like MailChimp and Campaign Monitor. Where campaigns to build brand awareness and generate top-of-funnel sales drive traditional marketing, data across the entire customer lifecycle drives growth hacking in marketing.

Retention 113
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How to Design, Launch and Automate a Referral Program for Your Business

Up and Running

If not, now is the perfect time to get in on this effective and easy-to-implement user acquisition channel. Referral marketing is a user acquisition channel that allows you to leverage your existing user base for growth by incentivizing them with rewards. This is why referral programs are a great low-risk channel. Lowers churn.

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Why Misunderstanding Startup Metrics Can Cost You Your Business

Both Sides of the Table

In product business it is often measured over multiple purchases and assumptions are made about the repeat rates and in the enterprise or services world LTV can be based on churn rates, which are notoriously hard to predict in an early-stage business. Poorly calculated LTVs can become BVs (bankruptcy values).

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A Complete Guide to Marketing ROI Tracking

Up and Running

But keeping track of where a customer came from is very hard, especially when you start diversifying your marketing channels to campaigns that don’t have a direct conversion. Once you have goals defined, you can easily filter your data to know which channels are driving these conversions.

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Deep Dive: Analytics and Security on a Real Ecommerce Platform

The Startup Magazine

The best tools aren’t only powerful but efficient, as they let you filter through data based on traffic sources, channels, verticals, campaigns, or custom Smart Tags. You’ll be able to better segment key metrics like COGS, eCPA, Churn Rate and more to better understand the history of your business.

eCommerce 106
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How to Calculate & Maintain a Healthy Customer Acquisition Cost (CAC)

ConversionXL

A popular way is to include the cost of re-engagement campaigns in the acquisition cost. Here’s how you calculate LTV: [ARPC (Average Revenue Per Customer in a Month) X Gross Margin] / MRR Churn Rate. Segmenting CAC to prioritize channels. This will help you attribute the conversion to the correct acquisition cost.