Remove Examples Remove Google Remove SEM Remove Software Review
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Why Misunderstanding Startup Metrics Can Cost You Your Business

Both Sides of the Table

In an eCommerce or Internet Services business it is often the marketing costs (if purchased online) and in an enterprise software company it is often marketing plus enterprise sales reps. So if you paid $100 for a customer who converted via a Facebook ad or Google search ad (SEM) that is not your CAC. Payback Period!!!”

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Pour And Stir II – Managing Your Cost Per Customer

InfoChachkie

In the example above, you may find that although radio listeners cost $50 more than your average cost per customer, they may correspondingly have a longer life and thus a higher lifetime than your average customer. Thus, avoid link farms, mindless keyword content and similar techniques designed to make your site more Google friendly.

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How to Decrease the Odds That Your Startup Fails

Both Sides of the Table

It says that selling an airplane ticket for $500 and getting paid a $5 fees by the airlines (1% gross margin) is not the same thing as selling $500 of software that you built (>90% gross margin). I like to use the example of a company I backed called MakeSpace because it’s such an easy an obvious market to understand.

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