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Customer acquisition

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Are you looking for ways to attract more customers? Wondering how to get your business in front of the right people? Or maybe you're curious about what tactics work best for acquiring new customers online. In this blog post, we'll explore some customer acquisition tips that will help you grow your business. So whether you're just starting out or you're looking to take your business to the next level, read on for helpful advice!

What is customer acquisition?

Customer acquisition is the process of gaining new customers or clients. It involves a company's efforts to attract potential customers and convert them into paying customers. The aim of the game? Growing your business and revenue/profit margins. But it isn’t only about growth. Customer acquisition instills confidence in your partners, investors, influencers, and prospects.

Customer acquisition cost (CAC) 

You need to measure how much you have spent on acquiring a new customer in order to understand your profit margin. Plus your return on marketing efforts is a number your boss and investors will likely want to see. 

Customer acquisition cost is calculated by dividing your marketing spend by the number of customers acquired. It’s important to take into account the time frame for which you are determining CAC. You might spend money on acquisitions now that will only pay off when the customer makes a purchase in the next quarter.

The customer acquisition journey

Customer acquisition encompasses every step of the customer journey from awareness, lead generation, acquisition, activation, conversion to retention. The customer’s acquisition journey is represented by the customer acquisition or sales funnel. There are three main phases in the funnel: 

  • awareness of the product; 
  • consideration of and comparison to other products; and
  • the action of purchasing. 

The funnel indicates the stages of the customer’s mindset - where they are at in the buying process. How you approach your customer acquisition strategy will depend on which stage of the funnel the audience that you’re targeting is in. 

Customer acquisition strategy

Why is it important to have a customer acquisition strategy? Despite your best efforts, churn is an inevitable part of business. That’s why you need a strategy to continuously acquire new customers to replenish lost business.

At the heart of customer acquisition is a plan. It's how you'll get from where you are to where you want to be. In order to create a powerful plan you need to answer a few questions. Who is your target market? What are your goals? What acquisition channels will you use? How will you communicate with potential customers and measure the effectiveness of your efforts to improve them over time?

Online customer acquisition channels

There are many channels that you can use to acquire new customers online. The most popular online acquisition channels include:

  • Content marketing
  • Search engine optimization (SEO)
  • Social media
  • Email marketing
  • Referral program
  • Paid advertising

Content marketing

The objective of content marketing is to attract and acquire a targeted audience by creating and distributing relevant and valuable material consistently. Video and blogging are examples of content. So, how exactly does content marketing help you reach your target audience? Content helps you reach potential customers because it delivers value based on their needs. In turn your company enjoys brand awareness and loyalty.

Search engine optimization (SEO)

Search engine optimization helps businesses improve their ranking in search engines through strategies like content marketing, link building, and more. The better your website ranking, the higher the likelihood that visitors will click through to your site. Increased website traffic is likely to result in more leads.

Social media

One of the most popular customer acquisition channels is social media marketing. You can either make use of paid social media marketing or leverage organic social media. Using this technique, you can create unique content and share it with your target market using various social networks like Facebook, Instagram, Snapchat or Twitter.

Email marketing

Email marketing is one of the most cost-effective techniques for acquiring new customers. It’s a type of direct marketing in which businesses send email messages to their target audience. All it takes is an email list, a bit of creativity, some valuable content, and you're good to go! This can be done through newsletters or promotional campaigns, among other things.

Referral program

A referral program is a business strategy in which customers are encouraged to find new customers. Referrals can be a great way to attract new customers, as they are already familiar with your business and its products or services. As an incentive, customers receive either discounts or special offers when they bring in new customers. This technique works because it makes your customer feel appreciated and valued.

Paid advertising

Another way to acquire new customers online is to invest in paid advertising. Paid advertising involves strategically placing ads on social media, search engines, and other websites. The ads can be in the form of text links, banners, video media, social media ads, among others.

Tips for choosing the right acquisition channels

It's clear that many different strategies exist for acquiring new customers online. As long as you effectively communicate with potential customers and offer them value, any of these tactics can work. 

Start by defining your business objectives, target audience, and customer acquisition goals. Once you've done that, choose the best online customer acquisition channels based on your personal preferences as well as the needs of your customers. Consider your budget, how much time you've got to invest, and scalability. Choosing more than one channel will likely increase your chances of success. In the end, the best way to figure out what's going to work for you is to test multiple channels. 

Conclusion

Keep in mind that no single customer acquisition technique will be an overnight success and it takes patience and persistence to successfully acquire new customers in this day and age. Your company can benefit from multiple customer acquisition solutions working together to attract traffic and turn those visitors into leads and loyal brand evangelists. Customer acquisition is a long-term commitment, so make sure the strategy you choose is a good fit for your business before you get started. And when in doubt: test! Test everything.

Learn more about what we do at OnceHub here.