Today we break down one of the most important marketing metrics that rarely gets tracked. Customer Acquisition Cost, or CAC, tells you exactly how much it costs to bring in each new customer.
In this episode we explain what CAC is, how it is calculated, and why it matters for any small business trying to grow profitably and understand their marketing results. We also walk through several practical ways to lower your CAC, and why you should know it across all your advertising methods. In addition, we're comparing CAC to Lifetime Value so you understand how these two numbers work together and why your LTV should always be several times higher than the cost to acquire a customer.
We close the episode with average CAC numbers from common consumer industries so you can see where your business stands. This is a simple and helpful introduction to a metric that can completely change how you manage your marketing budget.
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Do you have an interesting idea for a show topic or a marketing problem that you'd like us to cover in a future episode of Mastering Local Marketing? Email matt@masteringlocalmarketing.com and we'll add it to our future episodes.
Mastering Local Marketing is a small business podcast focused on local marketing strategies, marketing tactics, and digital marketing that drive real customer acquisition and business growth. Built for entrepreneurs and marketers, this show breaks down marketing strategies for business owners who want results, not fluff.
Each episode explores practical marketing strategies including local advertising strategies, social marketing, sales strategies, and digital marketing tactics designed to help you market a local business more effectively. Whether you run a retail store, restaurant, or service business, you'll learn how to turn visibility into leads and leads into paying customers.
Hosted by marketing expert Matt Hanson, the podcast highlights real-world marketing for small business, common marketing mistakes, and proven systems used by masters of marketing to grow local brands. You'll discover how to improve customer acquisition, strengthen local presence, and accelerate sustainable business growth.
If you're looking for actionable marketing tactics, smarter local marketing, and strategies that actually move revenue, this is one of the top small business podcasts to add to your rotation. Subscribe and start mastering strategy that helps your business grow.