Customer Acquisition Flashcards

Which metric best measures the efficiency of a paid acquisition channel by comparing spend to new customers gained?

Answer: Cost Per Acquisition (CPA)

CPA divides total channel spend by the number of new customers acquired, directly measuring acquisition efficiency.

A growth marketer wants to acquire high-intent users who are actively searching for a solution. Which channel is best suited?

Answer: Search engine marketing (SEM)

SEM targets users actively querying relevant keywords, indicating high purchase intent at that moment.

What does a 'lookalike audience' allow a marketer to do on paid social platforms?

Answer: Find new users who resemble your best existing customers

Lookalike audiences use the platform's algorithm to find new prospects who share traits with your seed audience of existing customers.

Which acquisition strategy relies on existing customers bringing in new ones through incentives?

Answer: Referral programs

Referral programs incentivize current customers to recommend the product, turning them into an acquisition channel.

In a CAC payback period calculation, what does a shorter payback period indicate?

Answer: Faster recovery of acquisition costs from customer revenue

A shorter CAC payback period means the business recoups its acquisition investment sooner, improving cash flow and scalability.

Which of the following is a key benefit of organic search (SEO) as a customer acquisition channel compared to paid search?

Answer: Lower ongoing cost per visitor over time

SEO traffic compounds over time and does not require ongoing per-click spend, resulting in a lower marginal cost per visitor at scale.

A B2B SaaS company wants to acquire enterprise clients. Which acquisition approach is most appropriate?

Answer: Account-based marketing (ABM) targeting specific companies

ABM focuses marketing and sales resources on a defined set of high-value target accounts, which suits enterprise B2B sales cycles.