Customer acquisition, what is it? It is the process by which companies obtain new customers through different types of strategies, both online and offline
The main objective of any company or business is to be able to create the right customer acquisition strategies.
A good customer acquisition strategy generates the following:
- Drives sales and revenue.
- Provides credibility to external stakeholders.
- Generates brand awareness.
- Can be measured to determine success.
- Is scalable across the business.
- Keeps acquisition costs low.
The six steps to customer acquisition
Most people will not move through the customer journey as defined by the sales funnel. Customers learn and engage with a brand at different times and places and in different ways. However, the funnel, which includes six steps, is a good framework for understanding how a potential customer learns about a product or service, evaluates it, and ultimately makes a purchase.
Top of the funnel: drivers
1. Awareness: This is the first time a lead learns about or contacts a brand, often through educational content and SEO.
2. Interest: The lead decides whether they are interested in the brand and what it has to offer or not. Audiovisual content such as videos, pictures, social media posts, websites can help convert leads into possible customers aka prospects.
Middle of the funnel – Prospects
3. Consideration: The prospect decides that a product or service might be useful, but they want to know if the brand is trustworthy, e.g., if the brand is a helpful expert. Blog posts and instructional videos, case studies and e-books help build that trust. Brands can encourage potential customers to subscribe to email newsletters and other valuable content.
4. Intent: The potential customers need to be convinced that buying from my brand and not a competitor is a smart move. Product-specific information, such as white papers, webinars, and FAQs, works well at this stage.
5. Evaluation: The brand demonstrates that it has the best product or service through reviews, customer testimonials, demos, and case studies.
Bottom of the funnel: customers
6. Buy: Customers are ready to buy, and special offers like free trials, gifts or discounts can drive the deal.
Now that we’ve discussed these 6 basic customer acquisition steps, let’s talk about customer retention.
It costs five times more to obtain a new customer than to maintain an existing one.
For every 5% increase in customer retention, profits can increase by up to 95%.
Customer retention is vital; in fact, experts consider it to be the One New Customer Acquisition.
How do we do that? Here are some quick and practical tips.
- Make sure you have a sufficiently large data asset and sophisticated technology to analyze and optimize data.
- Go for a solution that offers the widest possible scope.
- Choose the right pricing model for your business goals.
- Use Dynamic Creative Optimization technology to create personalized 1:1 ads in real-time. Here’s one amazing tool that can support you with this.
- Use product recommendation technology to increase your conversion potential.
- Take full advantage of predictive bidding technology to optimize your spending.
Whether you are a global company or a small startup, the need to achieve growth and profit goals makes identifying new customers and generating conversions among them a critical part of any digital marketing plan. Acquiring new customers in today’s online environment it’s a challenge but if you develop the right strategy, you’ll make it happen.
At Mas Vale Saber, we can help you, leave us a comment if you are interested in getting a free consultation.