Digital marketing is effective, but often it can be inefficient.
In the morass of multiple metrics (alliteration intended), it’s very easy to lose sight of the most important person: the customer. After all, it is the customer who makes your Australian medical business’s wheels turn. And unless you’re acquiring enough customers you run the risk of a drying revenue stream.
But this is common knowledge. What is esoteric is the fact that most medical facilities fail to track what it costs them to acquire new customers. Represented by Customer Acquisition Cost (CAC), this is one KPI that you must track.
Unless you can bring down your CAC, you are bound to see lower profits in the long run. So to make sure you don’t suffer that fate, here’s a list of the top tips to bring down CAC.
Let’s get to it then.
It’s no secret that the best way to hit the mark is to target better. So, the first step that you can take to bring down CAC is to create a buyer persona for your business. Once you know who your customers are and how they think, you’ll be able to better devise ways of acquiring them more efficiently. So to get the customer, you have to know them better than they know themselves.
Focus On Retention
It’s no secret that acquiring new customers is more costly than retaining existing ones. So, to bring down CAC, make sure you pay special attention to your existing customer database. You have to ensure that your existing customers are satisfied with you. Only then can you look to optimise CAC; otherwise, you have no choice but to spend as much as possible.
Rely On Word Of Mouth
This is directly related to the previous point. If your existing customers are happy, then they become your vocal advocates. Statistics show that customers rely on word of mouth publicity much more than other forms. Further, word of mouth publicity doesn’t really cost you a thing but gets you a lot. So get ready to spread the word, and rake in the customers.
Use Marketing Automation
Trying to do everything manually can be a virtual nightmare, and also a costly one. The cost required to get an employee to perform acquisition functions can often be prohibitive. Hence, to get around this problem, consider augmenting traditional efforts with marketing automation systems. Automation can bring that much-needed efficiency in any customer acquisition process. And contribute towards lowering CAC by a considerable amount.
Employ Social Media
Social media can be an extremely powerful tool in your arsenal if used rightly. Using social media channels, you can efficiently reach out to potential as well as existing customers.
Also, social media can be a very potent source of addressing customer grievances. By providing proper customer service, you stand to gain a good reputation. Which, in turn, will help to automatically bring in new customers. And lower the CAC in the process.
Focus On Conversion
For any business, there are a large number of KPIs to track. And it’s here that businesses often trip up. By spreading their attention thin over a large number of unnecessary metrics, they miss the most important of all: conversion. All other metrics pale in comparison when the importance of conversion comes to the fore. By focusing on conversion, you stand to lower CAC and improve acquisition rates.
The last, and final point that we’d like to stress is: make sure to provide value. Unless you are providing true value to the customer, you can’t expect them to stick with you. And this directly influences your acquisition costs. As more and more customers turn away from you, your CAC is bound to shoot up. The only way to counteract this is to provide value to your customers. Real value speaks for itself and is bound to help in optimising your CAC.
CAC is one of the most vital KPIs to track. And KPeyes can be your best partner in achieving the same. Using the advanced capabilities of the KPeyes system, your business stands to propel itself to new heights.