and sales expenses required to acquire a new

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A good user experience will make customers more loyal and retain more easily. Pay attention to customer behavior data in advance to avoid customer churn. Understanding customer behavior data is also very important for reducing customer churn. By analyzing how customers use the product, their commonly used functions, and the frequency of use, we can better understand customer needs and preferences. If there is a risk of customer churn, we can intervene as soon as possible. It is very important on the operational side to understand the value of customers in real time to facilitate subsequent operational planning through products.



⑤ "Customer acquisition cost" explains the total iranian phone code marketingsales expenses refer to all expenses used to attract and acquire new customers in a specific time period, including advertising, promotions, sales staff salaries, etc. The number of new customers refers to the number of customers who purchase services during that time period. The calculation formula = total marketing expenses / number of new customers. If a company spends RMB marketing and promotion to acquire users in a quarter, then it is RMB. It can help companies obtain effective channels and thus have better plans for marketing strategies.



Here we need to combine T to measure the overall T/≥ is the ideal state. The investment in marketing effect will have a high return rate, but a high ratio also means that the market cost investment is relatively conservative and can be increased. And of course, the smaller the better, which means that customer acquisition can continue to bring profits, so the investment in customer acquisition should be continuously increased. How to reduce it? —— It can be reduced through strategies; if marketing activities can cover more precise customers, it is necessary to have a sufficient understanding of the product customer portrait.



Marketing materials directly hit the customer pain points and clearly express the product value. It can also convert more customers and reduce. There is also a very important core indicator. How long does it take to recover the customer acquisition cost? The time required to recover the customer acquisition cost is generally calculated on a monthly basis Mth.According to experience, it is best to recover the customer acquisition cost within months. ⑥ "Net income retention rate" explains the proportion of retained income obtained from the existing user base in a specific period of time.



On the one hand, it can reflect the customer's loyalty to the product and usage, and on the other hand, it can reflect the changes in the company's existing income over a period of time. The calculation formula = end period / initial period. For example, a group of customers subscribe to the service with a total subscription fee of RMB/month. Some customers purchase more services, some customers reduce their purchases, and some customers churn. After one year, the total subscription fee of this group of customers is then. When the product's is greater than, it means that "the increase in revenue from customer upgrades or renewals" is greater than "the decrease in revenue caused by customer downgrades or churn", which means that customers tend to maintain the frequency and level of their use of the product, which helps to improve the survival and development capabilities of the product.



If it is lower than , it means that the fees paid by customers are reduced. It is necessary to find the reasons as soon as possible and take measures to improve products or services to retain customers and increase revenue. The average of companies that have successfully listed is slightly lower than the excellent level, but it can exceed or even reach . Generally speaking, large customers have higher retention rates than small customers. On the one hand, because the business of large customers is relatively stable, they will do sufficient research before choosing services and will not easily replace them after use, so the retention rate is relatively high.