How Much Is It Costing YOU To Acquire New Customers?

What are you paying now to acquire a new client? Go ahead, take the test!

1. Determine Your Customer Acquisition Expenses

Get your general ledger and classify every expense you can as a customer acquisition expense.

Your yellow pages expense is primarily a customer acquisition expense.
Any mass media advertising is customer acquisition.
Direct mail directed towards new customers is customer acquisition.
Your service or civic club memberships may represent a way for you to give back, but it’s primarily a customer acquisition expense.
Your Salesman is a customer acquisition expense.

2. Determine the Number of New Customers

Add up the number of new customers acquired in the past year, excluding those you gained through existing customer referrals.

3. Calculate the Cost of Customer Acquisition

Take a deep breath. Make sure you’re sitting down.

In fact, you might want to have someone standing by with smelling salts.

Are you ready?

Divide the customer acquisition expenses by the number of new customers.

As soon as you stop hyperventilating, the first thought that’s going to cross your mind is that this can’t be right. It can’t cost that much to acquire a new customer.

How can you stay in business? The answer is you can’t. It costs too much to acquire a new customer. It’s not unusual to find a business’s cost of customer acquisition exceeding $100+. This is more than the gross profit from the average service ticket. Don’t give up hope just yet, that’s why you’re here, to see what we can do for your business.

 


News Flash!
If you’re paying over $2500+ per month including your Yellow Page ad on advertising and not getting results then Mas Marketing can help you get NEW leads quicker and cheaper than what you’re paying now with results and tracking. Bold statement but it’s true and we do this through our team of “in-house” experts and not from foreign country outsourcing.

This is 2014 and it’s time to transition over to “digital marketing”, how do you think YOUR competition is getting their leads? They are utilizing technology to keep their business growing and prospering. If you’re not using digital marketing then you are seriously missing out on all of those potential customers.

If you took the simple test above and found out that you are paying way too much for your leads then give us a call, let’s sit down and discuss what we can do for you.

Time for YOU to start doing what you do best and forget about stressing  on how you’re going to keep your business alive. Let us do the thinking and planning for you.


 

What about Customer Retention?

You must have repeat business. Customer retention comes first. Retention marketing strategy is sometimes the most overlooked marketing in many local  businesses.

The cost of customer retention is typically 15% to 20% of the cost of customer acquisition.

You make money with your repeat customers. You must get new customers to replace the customers you naturally lose because they move away or were lost for some reason. You must get new customers to growYou  must acquire new customers for the future.

But most of all you have to retain customers to make a profit. The better your retention rate, the better your profitability. That’s why customer retention comes first.

Put a customer retention program in place before you ramp up your customer acquisition efforts. Customers are too valuable to lose. We can help you with that as well.

In fact, you will absolutely love our customer retention plan using mobile marketing along with old school advertising. Sound’s interesting? Call Digital Media Direct 702-807-5480

 

 

 

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