[Customer Acquisition Cost or CAC] The metric that will help you increase your store’s profitability

Do you know how much your e-commerce made with its last sale? Better yet, do you know how much you really made from your last sale? Many e-commerce owners make the same mistake when analyzing their profitability since they just work out the cost of the product, shipping, and their own salary – but they leave out something crucial: customer acquisition cost (CAC). If you invest €50 to get a client but your average checkout is €35, there’s something wrong, right? In this article, we’ll tell you all about customer acquisition cost: what it is, how to calculate it, and, more importantly, how to use it to increase your business’ profitability. Let’s get to it.

What A/B testing is and how it can help you improve your e-commerce conversion rate

The eternal question. Should I choose a brighter color for the “Buy” button? Should I change “Buy” to “Add to cart”? These little things always drive you crazy and you’re never quite sure what to go for. Despite being “little things”, you know these matters have a huge impact on your conversion rate. What to do? A/B testing. What these tests do is divert your website’s traffic into two different versions so you can test both and see which one works better in order to make decisions based on real trials. This post will tell you: What exactly A/B testing is. What you must consider before doing it. Available tools for your use. No more going crazy over the “little things”. ;)