CPA is a marketing acronym and it stands for Cost Per Acquisition.
Basically, this number is how much you spent on advertising divided by the amount of people who signed up.
If you spent €30,000 and only got two sign ups your CPA would be €15,000 – you should hope your product costs at least €15,001 otherwise you would lose your budget and potentially your job!
Marketers will often discuss and invest time and effort into optimising the CPA.
But what about the retention cost?
I think it is common marketing knowledge that it is a lot cheaper to keep a customer than it is to find a new one – so how much money are you investing into retaining customers?
To solely focus on acquisition without regard for the post signup experience is like pouring water into a bucket with holes in it.
The solution is not more water.
In my eyes retaining customers is key, it is so essential that one should aspire to retain customers so well that they do the acquisition for you.
Thomas Duggan 