Search Engine Marketing is a powerful platform to push your products in the search-engine listings. The grand-daddies in the "search" business are Google and Amazon with billions in revenue. With millions of products listed and huge amount of search inventory with Google and Amazon, all advertisers and sellers compete to get their products on top …
Tag: CAC
The importance of LTV to CAC Ratio and why should it atleast be 3X?
Measuring the LTV:CAC ratio is important because you don’t want the cost of acquiring a customer to be higher than the value of the customer. Even if it is 1:1, it is harder to be profitable. Even if it is just >1, it is difficult to be profitable because you have other costs involved in …
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How to split your marketing budget between customer acquisition and retention activities?
In any industry, customer acquisition and customer retention don't increase indefinitely as marketing spend continues to increase. One hits a ceiling (depending on industry to industry) even though marketing spends continue to increase. This brings an entrepreneur or a marketing leader to an important question: how can one determine the optimal way to split marketing …
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