The importance of Customer Acquisition Cost in your clinic
Posted: Thu Dec 12, 2024 11:03 am
When planning a new marketing campaign for your aesthetic clinic, it is important to take into account certain aspects that we often forget and that can determine the success or failure of that new campaign. Many business owners, not only those related to aesthetic medicine, believe that a marketing campaign has been successful by measuring the benefits it has produced for them. Nothing could be further from the truth.
There is another determining factor when it comes to quantifying the success of a campaign that many people forget. I am referring to the Customer Acquisition Cost ( CAC ) . This variable can be defined cameroon phone number library the financial investment that your aesthetic clinic has had to make to get a potential client to become a final consumer. This metric is applicable to different branches of marketing (SEO, SEM, Emailing…) and the basic formula to calculate it is the following:
Contrary to what it may seem, this formula should only be applied the first time a consumer requests a treatment at your clinic, not every time a treatment is done, unless some other marketing investment has been made between each acquisition. Thus, the CAC of a client for their first treatment would be the result of the formula, while the CAC of the second (third, or fourth) treatment, if there was no marketing investment in between, would be equal to the cost of that treatment.
Now you may have a clearer idea of the importance of Customer Acquisition Cost for your aesthetic clinic. If not, here it goes. The importance of this metric lies in being able to know, also taking into account the average purchase cost of your clients, the investment you can make in a marketing campaign focused on attracting new clients.
There is another scenario in which this metric can be of great help, and that is when choosing a business model for your clinic. While it is true that the CAC is a key element in defining the direction of your clinic, it must be accompanied by another variable: the value of the lifetime of a client ( Customer Lifetime Value or CLV ). This refers to the income that a single client is able to generate for your aesthetic clinic during a given period. Thus, to achieve a balanced business model, the ideal would be to have a low CAC and a significantly higher CLV .
There is another determining factor when it comes to quantifying the success of a campaign that many people forget. I am referring to the Customer Acquisition Cost ( CAC ) . This variable can be defined cameroon phone number library the financial investment that your aesthetic clinic has had to make to get a potential client to become a final consumer. This metric is applicable to different branches of marketing (SEO, SEM, Emailing…) and the basic formula to calculate it is the following:
Contrary to what it may seem, this formula should only be applied the first time a consumer requests a treatment at your clinic, not every time a treatment is done, unless some other marketing investment has been made between each acquisition. Thus, the CAC of a client for their first treatment would be the result of the formula, while the CAC of the second (third, or fourth) treatment, if there was no marketing investment in between, would be equal to the cost of that treatment.
Now you may have a clearer idea of the importance of Customer Acquisition Cost for your aesthetic clinic. If not, here it goes. The importance of this metric lies in being able to know, also taking into account the average purchase cost of your clients, the investment you can make in a marketing campaign focused on attracting new clients.
There is another scenario in which this metric can be of great help, and that is when choosing a business model for your clinic. While it is true that the CAC is a key element in defining the direction of your clinic, it must be accompanied by another variable: the value of the lifetime of a client ( Customer Lifetime Value or CLV ). This refers to the income that a single client is able to generate for your aesthetic clinic during a given period. Thus, to achieve a balanced business model, the ideal would be to have a low CAC and a significantly higher CLV .