If you stop allocating money for advertising, then the cost of a client will be minimal. It's a pity that there won't be any clients.
At the initial stage, when customers are just getting to know the brand, the company’s products and services, large investment volumes (and, accordingly, a high CAC) are the norm.
But over time, you need to optimize your advertising investments.
This is done using the following techniques:
CAC indicators are assessed for different turkey phone number data advertising channels. The most expensive and ineffective ones should be deprived of budgets (or, alternatively, their share relative to the total budget should be reduced).
The share of advertising channels that provide the "cheapest" clients increases. Usually, these include email newsletters, social networks and instant messengers. But in your particular case, the combination may be different.
It is necessary to work on customer loyalty and satisfaction. As a result, the same customer will make more purchases, and the volume of investments in advertising will decrease (and, as a consequence, the CAC indicator, too).
Automate business processes related to marketing as much as possible. With successful automation, you can reduce advertising costs or increase the number of transactions (accordingly, with the same investment, the number of new clients will increase).
Conclusions and recommendations
CAC is a very simple but useful metric that can be used to quickly assess the effectiveness of investments in email marketing , as well as in all other advertising channels.
CAC can be used independently (when tracking dynamics) or in combination with other metrics. The most interesting combination will be with LTV, plus, based on CAC, you can calculate the return on investment.
Pay special attention to what number of clients and where to use. Do not confuse the number of subscribers with the number of real buyers.
A set of other email marketing metrics can be found in the general material on KPIs .