The Driving Force of Customer Acquisition
Dec 03, 2018
Customers are essential to the growth, profit, and survival of any industry. Customer acquisition is simply gaining new consumers. However, the process is anything but simple. An important statistic to consider is that it costs five times more to acquire a customer than to retain one. To increase customer acquisition without increasing spending, businesses need to think smarter instead of working harder by building an acquisition strategy that addresses behavior patterns of today’s customer. In today’s digital age, the focus is switching from a transactional-based model to a behavioral-based model.This shift is helping businesses:
- Optimize the customer journey that each customer takes
- Understand what personalized next-best actions businesses can give to those customers
- Understand how businesses can maximize the overall lifetime value of those customers
Social media is one of the most important tools for customer acquisition. It helps keep customers up to date with new products and information, provides a way to communicate with current and potential customers, and can provide insight into what is working and what is not. Another helpful tool is to learn from the mistakes of others. There are many examples of failed marketing campaigns that highlight what works and more importantly, what doesn’t. Data taken from examples such as these are extremely helpful in gaining insights into the specifics of what brings in customers and what drives them away. Using every possible resource online and offline prevents the risk of misinterpretation or coming to the wrong conclusions.
The use of analytics in customer acquisition provides businesses with the ability to understand their customers, predict their actions, and build relationships. Each product, brand, and customer is different, so a personalized and unique approach is vital to obtaining the best results. Integrating analytics into your customer acquisition strategy is one of the most effective ways to maximize financial success. Here are four key areas data can improve customer acquisition:
- Optimizing channel strategies allows businesses to find the best prospects, target the right channels, and increase conversion rates.
- Mapping behavior to outcomes helps businesses provide offers the prospects will respond to and improve conversions.
- Creating predictive models helps identify prospects that are more likely to purchase.
- Mapping behavior across touch points and interaction points allows businesses the ability to track effectiveness of their marketing strategy.
To explore using your data to increase customer acquisition, contact us here.