Keep Your Cost Per Customer Low
Acquisition cost is one of the preferred metrics on Google Ads to enhance the value of your ads. In essence, the acquisition cost refers to how much you are likely to spend on a prospect lead to turn them into a customer. In the world of Google AdWords, the metric is used to automatically increase bids in AdWords auctions to maximize chances when a user is likely to convert.
If you are familiar with this definition of the acquisition cost, you might assume that customer costs refer to the thing. In reality, customers costs are all the costs involved in the acquisition and retention of your customers. The overall customer management process could end up costing you more than you get paid for the product or service. Here are tips to ensure you can keep your cost per customer as low as possible.
Improve your SEM campaigns
As mentioned, Google Ads has strategic acquisition costs bidding. This approach can be successful if you set the most profitable cost. Paid marketing doesn’t have to break the bank. On the contrary, Google Ads lets you choose and manage your budget. But if you’re going to secure high rankings on the SERPs, you want to understand how to improve your ads for best visibility. High bids can win the auction, but other strategies can keep your costs low and your results high. Adding relevant ad extensions such as your phone number can increase the conversion rate. Additionally,m you can add business information to appear only for local searches.
Keep shipping costs profitable
Ecommerce shops have a tough task keeping their costs as appealing as possible. As a result, shipping costs need to be kept intentionally low. However, it can be tricky to manage all shipping-related costs effectively, including return costs, return checks, preparation for international shipping, etc. it might not physically cost more to transport a parcel from A to B, but your team will be working around to clock to manage the logistics strategy. So, why not give yourself some slack and turn to simple order fulfillment services to keep shipping processes cost-effective?
Let a bot help them
Customers frequently need help and guidance. Companies often feel overwhelmed by the volume of calls or emails reporting issues that are easy to solve. It is a time-demanding process that wastes the workforce. Simple queries could be easily managed by an AI bot. Whether a customer wants help finding the right product or needs basic troubleshooting, a bot can guide them effectively through the steps. More complex queries can also be filtered and passed on to the team.
Exceed their expectations
Customers have expectations on the quality of your services or product. The quickest and easiest way to keep customer costs low is simple to deliver precisely what they expect. Exceeding expectations is a popular marketing buzz phrase, but in reality, if you have to work extra to deliver more value than people have paid for, you are ultimately running your business to the ground. Meet expectations at all times, including in terms of communication. Honesty and authenticity in your communication with customers can remove increased costs linked to complaints.
Leave a ReplyWant to join the discussion?
Feel free to contribute!