Customer Acquisition Cost figures are the marketer’s worst nightmare
(Tumwater, WA March 08, 2018) What is the marketers worst nightmare? It is telling your client his customer acquisition cost (CAC).
Here is the approximate cost using different marketing channels per Profitworks
Direct Mail = $536.58
Google Adwords = $319.67
Telephone Marketing = $312.11*
Attending Networking Events = $118.62
Website = $101.23
Visiting Targeted Businesses Door To Door = 17.83
Referrals = $10.24
Email Marketing = $6.00
*Assumes telephone marketers cost $11.00 per hour.
I am a little suspect of this list. For example, our Google Adwords campaign has an expected CAC of $156.00 and the email marketing CAC hasn’t been our experience at multiple times of $6.00. Afterall only 20% of emails get opened per MailChimp. For our purposes, this list is as good as any.
Let’s compare the above information to TXTplanet.com customer estimated acquisition cost. We believe it is 0.75 cents on average.
|Monthly||59.95||6||$299.75||(1st month free)|
|Cost to contact||$0.025|
Why is our CAC so low? It is low because of primarily two reasons (1) 97% of texts are opened within 3 minutes of getting the text. You can be assured that virtually every text message you send will be opened by the recipient. You can not get that with any other media (2) The recipient using the TXTplanet platform wants to do business with the merchant. The recipient has made a mental commitment to do business with your company because you are a member of TXTplanet.com
If you are using Social Media to advertise your business or for that matter any other media you are throwing your money away when compared with the TXTplanet platform.