Are the expenses related to acquiring new customers.
Ideally, Customer Acquisition Costs should demonstrate that marketing and advertising are paying for themselves. If they aren’t, perhaps your methods of interacting with customers need upgrading.
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Businesses spend millions of dollars every year on marketing schemes to draw in new customers. As important as that is, businesses should really be looking at how to retain the customers they have. Retention is less expensive and can help maintain solid revenue streams.
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