To guarantee the growth of your company, analyze your costs

“The task of a company is to examine its costs and performance in each of the activities that create value and look for ways to improve them.” Undoubtedly, this phrase by the mobile no data provider Philip Kotler explains specifically why you have to analyze costs to guarantee the growth of your company.As Kotler mentions, it is important for every businessman to know and analyze the costs of his company.These provide the information necessary for the general approach of the company, the study of alternatives, decision-making, etc.In addition, it provides the return on investment information and it is even possible to measure the behavior on the effectiveness and efficiency of the institution and its dependencies.In short, analyzing costs is crucial to generate profitable and sustainable income.Unfortunately, SMEs are companies that usually do not understand their cost structure 100%, which limits their opportunities for improvement.This lack of analysis has two repercussions: If your costs are too high, you will have problems growing economically and your sustainability may be affected (if you do not examine your costs you will not be able to reduce and improve them).If your costs are very low, you probably lack the drive to stand out, differentiate yourself from the competition and reach your sales goals.


But don’t worry, if you don’t know where to start, keep reading. An important metric to consider is customer acquisition cost (CAC).Many companies do not pay the necessary attention to it, but let me tell you … it helps, as it serves to ensure that you are investing in growth .Otherwise, how can you determine the effectiveness of your investment efforts in both sales and USA Phone Number List ?Calculate CACDetermining the customer’s acquisition cost is relatively easy.It is calculated by dividing the total cost associated with generating a new customer by the number of new customers you generated in a period of time.Remember that when determining your costs that are solely those related to generating new customers, do not include the costs of retaining or serving them. If there are people on your team who have responsibilities for both of you, then distribute the costs according to how they spend their time.If it is still not clear to you, calm down. Here is an example.(The calculation can be done for any period of time, but for this example a base year was taken)customer_acquisitionIn this case, it costs the company around Q20,000.00 to acquire a new customer. Now you know how to calculate the cost of acquiring a customer; With this you will be able to evaluate and analyze your investments and costs to generate profitable and sustainable income.

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