What Is Customer Acquisition?

A business cannot exist without its clients. So, gaining new customers and retaining the old ones should be your main priority. You need a strong customer acquisition plan for that.

It allows you to captivate and win over new consumers consistently. It’s the key to the steady success and growth of your brand.

We will tell you more about the customer acquisition process. Keep reading and learn about the most useful techniques.

The Purpose of Customer Acquisition

What is customer acquisition? It’s the method of drawing consumers to your company. It is the main goal for any corporation that wants to grow and stay competitive.

The fundamental purpose of this process is to make more profits by growing the client base. Basically, it will allow you to

• Boost sales and maintain profitability;
• Expand your market presence;
• Gain repeat buyers and brand advocates;
• Diversify consumer base;
• Get more data for product modernization.

Customer Acquisition Funnel

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You must grasp the idea of a customer acquisition funnel before we talk about practical tactics. Technically, it’s a visual demonstration of the stages your potential customer passes before buying something.

You can identify where prospects are in their buying process through it. It can help you develop a plan for turning them into paying customers. The funnel narrows down at each stage when leads get closer to making a purchase.

Below, we explain each aspect of this funnel.

Awareness

This stage stands at the top of the funnel. Its primary intent is to brief potential customers on your brand and offerings. Here, you have to grab attention and attract a broad audience.

The tactics you can employ at this stage are

• Content marketing;
• Social media marketing;
• SEO and PPC.

Consideration

At this stage, your prospects show interest and evaluate whether your offering is a good fit for them. Here you have to familiarize them further and provide solutions to their requirements. You can use the following strategies:

• Email marketing;
• Retargeting ads;
• Webinars and case studies.

Your main objective is to move prospects from interest to intent.

Conversion

This part is at the bottom of the funnel when prospects are ready to make a decision. Here you need to focus on removing any remaining barriers and encouraging action. Common tactics you can use are

• Persuasive CTAs;
• Special offers;
• Display of testimonials.

Retention

Traditionally, the customer acquisition funnel ends on conversion. However, many businesses today focus on retention as well. Follow-up activities help you maintain customer trust and drive repeat business.

Top Customer Acquisition Strategies

You already understand the concept of client acquisition and its stages. Now, it’s time for some actionable solutions. You probably want to learn how you can acquire new customers.

Below, you’ll find the main strategies that will help you expand your client base. We’ve highlighted them briefly above, but now we’ll explain how to employ them.

Content Marketing

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This strategy is probably the most sustainable way to get new clients. It revolves around creating valuable materials to attract and engage a specific target audience.

Why does it work? It’s not as pushy as direct promotion which frequently annoys people. Content marketing builds trust and positions your brand as a knowledgeable resource. It allows people to explore your brand organically.

Also, consistent publishing helps you improve your rankings. This makes it easier for prospects to find your business when searching for relevant terms, such as an event photographer. This strategy usually attracts high-intent users.

Plus, this method is less pricey than many others. Yes, it may take some time to produce top-notch materials. However, the long-term value it brings outweighs the initial efforts.

For those struggling with content creation, tools like ChatGPT paraphrase functionality can be invaluable. They can help diversify your content, offering fresh perspectives on your ideas while maintaining your unique voice and message.

The are different formats of content you can use to engage your public. We gathered them in the table below, to help you decide which one suits you more.

SEO

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SEO focuses on improving a website’s visibility through unpaid methods. Its key goal is to get a higher ranking which helps to acquire fresh clients. Understanding the importance of SEO in this process is crucial for increasing online visibility and driving traffic. Beneath, you’ll find some aspects to concentrate on in this strategy.

Keyword Research

You have to prioritize the terms and phrases your target audience is using. It allows you to design content that matches their intent. You may use tools, like Google Keyword Planner or Ahrefs, to pinpoint them.

Then you can classify these keywords into transactional and informational. It’s important to target both types to attract users at different stages of the buying journey.

On-Page SEO

Next, you need to optimize certain elements on your site to ensure search engines understand the content and rank it accordingly. So, you have to do the following:

• Create keyword-rich titles;
• Write compelling meta descriptions;
• Use structured heading tags;
• Link to other relevant pages within your site.

Mobile Optimization

Today, people mostly use their phones to search for something. So, you should definitely put more effort into mobile optimization. First, ensure that your site has a responsive design.

Also, most users expect pages to load quickly. So, you need to optimize pictures and minimize code to accomplish that. To ensure good UX, don’t forget to incorporate straightforward navigation and readable fonts.

Paid Advertising

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The next strategy we want to suggest is paid advertising. It is the most direct and measurable method to acquire new customers. It usually offers immediate visibility and brings results fast.

This type of advertising allows you to target certain audience segments more precisely. You can base it on the location, interests, purchase patterns, and much more.

Plus, you can easily scale it depending on your budget. For example, you can start with a small investment to test campaigns. Then you may increase spending on the most effective ones.

In the table below, we outlined the popular types of paid advertising.

Referral Programs

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Referral programs are also a great method to gain new customers. As Shiv Singh, the former Head of Digital at PepsiCo, said

“The purpose of business is to a create customer who creates customers”

What are these programs exactly? Basically, you encourage existing clients to refer new ones in exchange for rewards or incentives.

We want to highlight that personal recommendations are often more persuasive than traditional advertising. Referred customers come in with a higher level of trust. So, they’re more likely to convert.

Here are the steps for implementing these programs:

• Identify your objectives and set KPIs;
• Decide on attractive rewards for both referrers and referred clients (deals, money rewards, free products, etc.);
• Establish clear terms and conditions to avoid confusion;
• Implement a tracking system;
• Create unique referral links or codes;
• Set up automated emails or notifications to send updates;
• Promote your program on different channels.

Also, we suggest you do a trial run of a program with a little group. It will help you spot potential problems. So, you can refine all the details before an official launch.

Social Media and Influencer Marketing

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Social media platforms are an amazing place to connect with potential customers. They can help you improve brand awareness. It allows you to attract more visitors to your webpage or store.

How should you approach this strategy? First, choose the platforms that align with your potential clientele. For example, Instagram and TikTok might be better for younger demographics. LinkedIn may work best for B2B marketing.

To effectively grow your client base in today’s rapidly shifting digital landscape, it’s essential to leverage the potential of key online platforms. A smart approach is to learn how to find influencers on LinkedIn, a platform that connects professionals with industry experts and key decision-makers.

By collaborating with these powerful people, you may raise your brand’s profile, increase its legitimacy, and reach a wider audience. Creating these partnerships gives you additional chances to increase the overall influence and reach of your brand in your sector.

You have to maintain a consistent brand voice and style on all platforms to build brand recognition. Also, we recommend to develop a content calendar that includes a mix of

• Promotional posts;
• Educational materials;
• UGC;
• Interactive elements, etc.

Make sure to maintain active communication with your audience. It will show that you actually care about them. Try to respond to all the comments and mentions. Also, consider hosting live sessions or diverse giveaways and contests.

Another initiative that will enhance your social media marketing efforts is collaborations with influencers. People often tend to trust the thought leaders of these platforms. So, their recommendations might motivate their followers to visit your page or purchase something.

You can ask them for cross-promotion. Encourage influencers to share your posts on their account and do the same for them. Also, you can collaborate on content creation or plan joint campaigns.

Free Trials or Freemium Models

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These tactics are also quite popular for customer acquisition. They allow potential customers to experience the value of an offering before making a financial commitment.

You probably want to know how these two approaches differ. Free trials give temporary access to a product or service for free. A freemium model is a basic version of your offering that people can get without paying.

The first option lets people test all the features and functionalities before getting a full version. It lowers the level of uncertainty they might have. Plus, it can offer you some useful feedback on how to improve your product.

Freemium alternatives can attract a lot of users as there are no budget constraints. These versions usually convince people to upgrade to the premium one. Plus, they have the potential for sharing, which leads to referrals and organic expansion.

Despite their distinctions, the aim of both these approaches is the same. They help you attract new clients and encourage them to purchase your offering.

Retargeting

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Retargeting is the last tactic we want to present. It allows you to reconnect with potential clients who interacted with your brand but haven’t purchased. You can remind them about your offerings with the help of ads on other sites and platforms.

Retargeting works through the use of tracking cookies or pixels. They compile data about users who somehow explore your site. It lets you design a personalized ad that will encourage them to return.

There are different types of retargeting, including

• Site;
• Search;
• Newsletters;
• Cart abandonment, etc.

So, you have to define which type you’d like to concentrate on. Then you need to segment the audience and offer them diverse ad campaigns.

Your ads should have adequate visuals and a persuasive statement. Also, you can include incentives, like a discount or free shipping. It creates a feeling of urgency that usually results in a purchase.

Measuring Customer Acquisition Cost

You have to evaluate whether your investments pay off, regardless of the strategy you use. So, you need to know how to measure the cost of customer acquisition.

This metric shows how much you spend on acquiring a new client. It includes all marketing and sales expenses, such as email marketing, advertising, and promotional campaigns.

• Advertisements;
• Promotions;
• Staff salaries;
• Software tools, etc.

The formula is quite easy. You can see it in the picture below.

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By calculating CAC, you can determine whether your efforts are profitable. Plus, you can predict prospective spending needs and set sensible growth targets.

How To Enhance Your Existing Strategy

We can all agree that a good customer acquisition plan is the basis of business success. You have to make the first experience of your prospects with your brand as memorable as possible. According to Kate Zabriskie, the president of Business Training Works Inc.,

“The customer’s perception is your reality.”

So, here are a few tips that can help you boost your strategy and potential customers’ experience:

• Ensure that your website is visually appealing and easy to navigate;
• Employ mobile-friendly designs and intuitive interfaces;
• Incorporate innovative AI tools to streamline and personalize your approach;
• Encourage close cooperation between sales and marketing units;
• Implement a quality CRM system; Focus on Brand building by creating in-depth videos for YouTube and podcasts. Use tools like yconvert for YouTube video optimization, keyword research, tag extraction, and other;
• Add complementary services to your existing offerings;
• Periodically gather feedback through reviews and direct communication;
• Invest in customer support and quality UX design;
• Partner with a customer acquisition agency to augment your sales team.

Conclusion

Every business needs a proper client base to maintain its functionality. So, you can’t overstate the importance of customer acquisition. A strong acquisition strategy will help your company grow and increase its profits.

There are so many tactics for getting more clients. From content marketing and SEO to referral programs and advertising.

No matter which one you choose, your main focus should be on your prospect. You should do everything to make their first experience positive and encourage them to interact with your brand further.

We hope that our guide was useful. Try out some of the strategies and concepts we mentioned and start expanding your customer base.