Transcript Customer Acquisition Process

Customer Acquisition Process
Customer Relationships – Buying
Cycles
Physical Goods
Web and Mobile
Source: Steve Blank
Types of Customers
Consumers
Businesses
Government
Sales Cycle
Short
Moderate to Long
Long
Sales Cycle Complexity
Simple
Moderate to Complex
Complex
Speed to Scale
Rapid
Moderate
Slow
Purchase Motivations
Emotion, Instincts,
Immediate Needs
Business Goals,
Budgets, Vendor
Relationships
Goals, Budgets, Vendor
Relationships
Marketing Budget
Requirements
High
Moderate to Low
Moderate to Low
Support Requirements
Low
Moderate to High
Moderate to High
Design issues in Customer Definition
Lead time for research
Marketing budget
Size of customer service presence/budget
Specialized staff
Funding sources
Use of the web (website, social, app) to drive sales
Use of the web (website, social, app) to provide support
Other
Customer Roles?
Buyer
Decision
Maker
User
Influencer
Customer
B2C – All roles could be fulfilled by 1 person
B2B or B2G – Could be 1 person per role or many people in each role
Customer Archetypes
Drive Get/Keep/Grow
• What’s their role?
– How this person is evaluated /
promoted / compensated?
• Who are they?
– Buyer’s name
– Position / title / age / sex
• How do they buy?
– Discretionary budget (name of budget
and amount)
• What matters to them?
– What motivates them?
• Who influences them?
– What do they read/who do they listen
to?
Paid Demand Creation (Marketing)
Activities
Demand
Creation
“Paid” Media
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Public Relations
Advertising
Trade Shows
Webinars
Email marketing
On-line search engine
marketing
• Business Development
Free Demand Creation (Marketing)
Activities
“Earned” Media
Demand
Creation
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Publications in journals
Conference speeches/papers
Educational seminars
Public relations
Blogging / Sharable content
Social Media
Communities
Customer Relationships
Physical Products – Customer Acquisition
(Get Customers)
© 2012 Steve Blank
Customer Relationships
Physical Products – Get Customers
CAC =
Customer Acquisition Cost
© 2012 Steve Blank
Customer Relationships
Physical Products – Get/Keep/Grow
LTV = Customer Lifetime Value
© 2012 Steve Blank
Customer Relationships
Web/Mobile Products– Get
© 2012 Steve Blank
Customers
Web/Mobile Products– Get
Customers
CPM = cost per thousand hits
© 2012 Steve Blank
Web/Mobile Products– Get
Customers
CPA = Cost per Action
© 2012 Steve Blank
SaaS Products– Get Customers
Organic
Traffic, SEM,
Other Paid
Sources
Registered Visitors
Qualified Leads
Raw Leads
Inside Sales
Closed Deal
© 2012 Steve Blank
Web/Mobile Products– Keep Customers
Customer Relationships
Web/Mobile Products– Grow Customers
© 2012 Steve Blank
Our Example Marketing Funnel
Quick Marketing Calculation
50%
amount of traffic that is organic versus paid
$1.50
cost per paid visitor (Google AdWords, etc.)
$
0.75 Cost per visitor (both paid and unpaid)
3%
visitors convert to raw leads
20%
number of raw leads that turn into qualified leads
1 qualified lead
5 raw leads required
167 visitors required
$125 Cost of visitors (also = Cost per qualified lead)
Source: David Skok Matrix Partners
Our Example Marketing Funnel
Quick Marketing Calculation
50%
amount of traffic that is organic versus paid
$1.50
cost per paid visitor (Google AdWords, etc.)
$
0.75 Cost per visitor (both paid and unpaid)
3%
visitors convert to raw leads
20%
number of raw leads that turn into qualified leads
1 qualified lead
5 raw leads required
167 Visitors required
$125Cost per qualified lead
Source: David Skok Matrix Partners