Selling online primarily. What is the approximate cost of customer acquisition? How can a company utilize the social networking to reach our audience? How can a company educate the public that their product exist?
Online selling is a systematic process by which customers directly purchase services or goods from seller with the help of internet and without any intermediary service. Online selling save time and cost of the consumers as well as sellers. Through online selling, company can easily approach its customers and capture the market (Norris, 2010).
Cost of customer acquisition
Customer acquisition cost is linked with convincing a consumer for buying company product (Collins, & Fiore, 2001). Advertising cost, research cost, marketing cost etc. are included in customer acquisition cost. For promoting the product and attracting the customers, company uses advertising tools like print media, T.V., vouchers, trade show etc. According to the product and location, company uses the advertising tools that increases the advertising cost of the company.
Research cost is also occurred, because for improving the quality of product and to identify the needs of the customers, company conducts research and survey. Website development cost is also faced by the company. For selling the product through online, it is necessary for the company to update its website time to time. Company also faces monthly maintenance cost like, staffing costs, handle enquiries etc. Promotion cost, trade show cost, communication cost, travel cost etc. are some costs that are associated with acquisition of new customers (Allen & Wilburn, 2002).
Assumed costs ...
The cost of customer acquisition, social networking and education public's are examined. How a company can educate the public and their existing products.