In episode #2486, Neil and Eric do a deep dive into the metric that’s more important than customer acquisition costs! This episode was inspired by a blog post by Elena Verna and in it you will hear why it is more important to focus on the lifetime value and the payback period of your customers than your customer acquisition costs. 

TIME-STAMPED SHOW NOTES:
[00:00] Today’s topic: The Metric That’s More Important Than Customer Acquisition Costs.
[00:18] The importance of understanding your Customer Lifetime Value (LTV).
[00:47] The blog post by Elena Verna inspired today’s episode. 
[01:17] An example that highlights the problem with focusing only on customer acquisition (CAC).
[02:45] The benefits of looking at LTV per channel. 
[03:20] Why the length of your payback period matters more when your business is just starting out. 
[03:50] Understanding the paid marketing loop. 
[04:21] What does the payback period metric measure? 
[05:06] Key takeaways from today’s episode! 
[05:51] How losing money in the short term can benefit your business in the long run. 
[07:10] How to optimize your payback period. 
[09:01] That’s it for today! Don’t forget to rate, review, and subscribe!

Go to https://www.marketingschool.io to learn more!




Links Mentioned in Today’s Episode:



Elena Verna
Cost of Acquisition (CAC) trap 
Microsoft
Microsoft Clarity
Timothy Sykes
Don’t forget to help us grow by subscribing and liking on YouTube!




Leave Some Feedback:



What should we talk about next? Please let us know in the comments below
Did you enjoy this episode? If so, please leave a short review.




Connect with Us: 



Single Grain << Eric’s ad agency
NP Digital << Neil’s ad agency
Twitter @neilpatel
Twitter @ericosiu



Learn more about your ad choices. Visit megaphone.fm/adchoices

In episode #2486, Neil and Eric do a deep dive into the metric that’s more important than customer acquisition costs! This episode was inspired by a blog post by Elena Verna and in it you will hear why it is more important to focus on the lifetime value and the payback period of your customers than your customer acquisition costs. TIME-STAMPED SHOW NOTES:<ul>
<li>
[00:00] Today’s topic: The Metric That’s More Important Than Customer Acquisition Costs.</li>
<li>
[00:18] The importance of understanding your Customer Lifetime Value (LTV).</li>
<li>
[00:47] The blog post by Elena Verna inspired today’s episode. </li>
<li>
[01:17] An example that highlights the problem with focusing only on customer acquisition (CAC).</li>
<li>
[02:45] The benefits of looking at LTV per channel.  
</li>
<li>
[03:20] Why the length of your payback period matters more when your business is just starting out. </li>
<li>
[03:50] Understanding the paid marketing loop. </li>
<li>
[04:21] What does the payback period metric measure? </li>
<li>
[05:06] Key takeaways from today’s episode! </li>
<li>
[05:51] How losing money in the short term can benefit your business in the long run. </li>
<li>
[07:10] How to optimize your payback period.  
</li>
<li>
[09:01] That’s it for today! Don’t forget to rate, review, and subscribe!</li>
</ul>Go to <a href="https://www.marketingschool.io">https://www.marketingschool.io</a> to learn more! Links Mentioned in Today’s Episode: <ul>
<li><a href="https://www.elenaverna.com/">Elena Verna</a></li>
<li><a href="https://elenaverna.substack.com/p/cost-of-acquisition-cac-trap">Cost of Acquisition (CAC) trap </a></li>
<li><a href="https://www.microsoft.com/en-za">Microsoft</a></li>
<li><a href="https://clarity.microsoft.com/">Microsoft Clarity</a></li>
<li><a href="https://www.timothysykes.com/">Timothy Sykes</a></li>
<li>Don’t forget to help us grow by subscribing and liking on <a href="https://www.youtube.com/channel/UCQphjk-8bS_UUAeTN_Of2qQ">YouTube</a>!</li>
</ul> Leave Some Feedback: <ul>
<li>What should we talk about next? Please let us know in the comments below</li>
<li>Did you enjoy this episode? If so, please leave a short review.</li>
</ul> Connect with Us:  <ul>
<li>
<a href="https://www.singlegrain.com/?utm_source=ms-podcast&amp;utm_medium=podcast&amp;utm_campaign=podcast-notes">Single Grain</a> &lt;&lt; Eric’s ad agency</li>
<li>
<a href="https://www.npdigital.com/">NP Digital</a> &lt;&lt; Neil’s ad agency</li>
<li>
<a href="https://twitter.com/neilpatel">Twitter @neilpatel</a> </li>
<li><a href="https://twitter.com/ericosiu">Twitter @ericosiu</a></li>
</ul> Learn more about your ad choices. Visit <a href="https://megaphone.fm/adchoices">megaphone.fm/adchoices</a>

Neil Patel and Eric Siu bring you daily ACTIONABLE digital marketing lessons that they've learned through years of being in the trenches. Whether you have a new website or you're an established business, you'll learn the latest SEO, content marketing, social media, email marketing, conversion optimization and general online marketing strategies that work today from people that actually practice marketing and operate businesses.
Approaching 100M downloads with 2,500+ episodes, you're sure to find something that will help you grow faster. Also don't forget to subscribe to our Marketing School YouTube channel to get more marketing goodness.

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Neil and Eric do a deep dive into the metric that’s more important than customer acquisition costs

The Metric That’s More Important Than Customer Acquisition Costs

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/6a2d000a-ba4d-4f33-85e8-b0d10174d22d/transcript

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