Both Sides of the Table

APRIL 26, 2016

The key to being able to run a business that isn’t yet profitable (on operating margin) is availability of capital to finance losses and preferably at a cost that isn’t too punitive to the founders and employees. CAC is often measured incorrectly and doesn’t often doesn’t capture the true costs of acquisition. The first input is CAC.

Metrics 150

Metrics Cost Acquisition Startup 150

ConversionXL

OCTOBER 16, 2022

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.

Acquisition 129

Acquisition eCommerce Customer Churn Rate 129

ConversionXL

NOVEMBER 15, 2016

Reducing churn rate. The goals of these companies could be quite different depending on the desired quantity, quality, and cost of customers. So you can more safely worry about fewer metrics on an eCommerce site, like increasing AOV or conversion rate (not that it’s easy to increase these). Team Structure.

Conversion 48

Conversion Churn Rate Retention Metrics 48

Up and Running

AUGUST 21, 2014

It’s hard to understand how many people will you actually attract, what is it going to cost, what’s your conversion rate, how long will people stay. You’re going to want to really think about how you’re going to drive traffic and what’s most cost effective.

Metrics 84

Metrics Startup Churn Rate Forecast 84

Occam's Razor

APRIL 8, 2013

Perhaps it's an increase in your conversion rate; Or a higher number of visitors who sign up; Or a greater number of people who share content with one another; Or a lower monthly churn rate for users of your application; Maybe it's even something as simple as getting more people into your restaurant. Form a hypothesis.

Metrics 156

Metrics Analytics Lean Churn Rate 156

ConversionXL

FEBRUARY 1, 2018

In fact, according to Campaign Monitor , for every $1 spent, email marketing generates $38 in ROI. Put another way, who would be foolish enough to cancel their subscription after they already sunk cost ? It’s no surprise, then, automated emails get 152% higher click rates than broadcast emails. Who wouldn’t want that?

Marketing 97

Marketing Campaign Software Review Email 97

ConversionXL

AUGUST 12, 2016

And when you consider that acquiring each customer has a cost, you can appreciate the importance of an airtight sales funnel that consistently converts. LTV = ARPA * % Gross Margin / % MRR Churn Rate. Customer Acquisition Cost (CAC). If you’re reading this, you know how expensive marketing can be. Image Source.

Software Review 48

Software Review Metrics Revenue Acquisition 48