Does Your Customer Acquisition Scale?


What does marketing have in common with Lego Blocks?

Building a Lego castle has a lot in common with building a business. It’s all in the details.

Some people sit in front of an instruction manual and match every peg and piece to perfection. Others look at the box, and dream of building an even bigger castle then the one in the picture and they just start building.

However building a business larger than you can imagine is a little bit riskier than investing time and money into a venture. While there is no sure-fire manual to build a huge business, there are ways to make sure your foundation is strong enough to scale to it’s full potential.

How to set yourself up to scale

Rarely in our dealings with small to medium sized businesses do we run into an owner who has no interest whatsoever in growth or expansion. It’s safe to say you are no different. Many entrepreneurs have a vested interest in scaling up or expanding. In this case it’s not a matter of want, it’s a matter of how?

There are a couple of ways to expand customer acquisition. You could double your marketing budget… However this isn’t a viable option for most. A lot of us have to start with the blocks that come in the bin we were given. You could cut your price in half and hope for more customers to come flocking to your door… but that isn’t the smartest choice either.

In order to intelligently scale customer acquisition you need to have a decent understanding of how to calculate your customer acquisition cost (CAC). You should also understand the sales funnel that ultimately converts them into a paying customer. If you missed our tips to calculate and lower your customer acquisition cost you can review it HERE . Now that you’ve mastered how to calculate and optimize your customer acquisition cost (CAC) you’re ready for more customers naturally.

Are customers finding you by accident?

While there may be some industry where customers happily fall on your lap and eat out of the palm of your hands, It’s doubtful that applies to your industry. For the rest of us, it’s very important to know how your customers are finding you, and why they are staying (or going).


Scaling customer acquisition starts with knowing what’s working, and what isn’t.

Let’s say for example you got 100 new customers last year. That’s great! Right?

In the same example let’s say your marketing efforts got the attention of 10,000 people.

Does a 1% close rate get you as excited now?


If you can’t identify what went wrong with the other 9,900 customers that didn’t convert then increasing your marketing budget would be a waste. Here are a few things that could have went wrong in your sales funnel:


  • They saw the ad, but it wasn’t relevant to them

  • They want what you have, but they aren’t ready to buy

  • They had trouble finding out how to buy (Don’t laugh, it happens all the time)

  • They weren’t qualified to buy


An important reason for understanding what went wrong is the ability to remedy and plug the holes in your sales funnel. Mathematically, if you are able to convert more customers with the same budget, your CAC will lower. One of the beautiful things about the advent of digital marketing is the unprecedented amount of accurate data available to analyze. This data provides a look into exactly where a customer dropped out of your funnel. This allows you to make smart decisions to strengthen your sales funnel.

Keys to Scaling your customer acquisition?

We won’t go into too much detail about all the different things that account for a customer losing interest, just know you need to optimize your CAC if you are trying to scale. If you can prove that you are spending less to acquire a customer than the customer is making you over the lifetime of their relationship then your business will be profitable and scalable.

The number one focus, if you want to scale, is to make sure that when you acquire a customer, they have a superb experience. This will ultimately lead to longer retention and unlock the door to the most powerful form of marketing; word of mouth. A referral from a client doesn’t cost you any additional marketing dollars, and it is the most effective in getting a prospect to act and convert.

Next, Identify your customers based on their personas and profiles. This insight will help you to target customers who will give you the biggest return for your marketing efforts, and help you improve the overall experience for more people like them.

You are on the path to great things. 

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