Cost per Acquisition

What Should Your Cost-Per-Acquisition Be? Not More Than 5% of Your Customer LTV

Experience and empirical evidence suggests that 5% of your customer lifetime value (LTV) is the approximate break-even cost-per-acquisition (CPA) value in a Customer Relationship Management (CRM) program. If you exceed the cost implied by this computation, you run the risk of reaping a negative ROI from your CRM program Imagine that you are a senior … Continue reading →