How to lower customer acquisition costs (CACs) with WhatsApp marketing

How to lower customer acquisition costs (CACs) with WhatsApp marketing blog

By Typie

WhatsApp marketing assistant

Posted: June 13, 2023

Updated: February 22, 2024

As an eCommerce brand, it's likely you're looking for marketing strategies to reduce customer acquisition costs (CACs) and maximize return on investment (ROI). Here's how WhatsApp can help.

 

It's no secret that eCommerce brands in 2023 are under heavy pressure to reduce marketing costs. There are hiring freezes, redundancies and (often seemingly impossible) requests from leadership to do more with less budget.

 

With so many costs involved in selling and marketing a product, where do you start?

 

A major way eCommerce marketing departments can save money is to reduce the cost of gaining new customers. Customer acquisition costs (CACs) have grown in recent years and show no signs of stopping. Businesses are now are estimated to spend as much as $29 per new customer

 

Customer acquisition costs have increased by as much as 60% in the last 5 years

Source

 

The solution: WhatsApp

One powerful, as yet often untapped way to reduce CACs and boost ROI is WhatsApp Business.

 

In this article, we'll explore how you can use WhatsApp Business to lower CACs and manage your eCommerce brand in a more efficient, profitable way.

 

Understanding WhatsApp Business and its benefits

WhatsApp Business is a specialized version of the popular messaging app designed for businesses. It offers a range of features and functionalities that enable brands to engage with their customers better. With WhatsApp Business, you can:

  1. Enhance customer communication: Establish a direct and personalized line of communication with your customers, fostering stronger relationships and improving customer satisfaction.

  2. Provide real-time support: Address customer queries, concerns, and support requests promptly, providing a seamless and efficient customer experience.

  3. Run WhatsApp campaigns: Create and execute targeted marketing campaigns using WhatsApp, allowing you to reach a wider audience and generate qualified leads.

  4. Optimize WhatsApp eCommerce: Seamlessly integrate product browsing, cart management, and secure transactions within the WhatsApp interface itself, simplifying the purchasing process for customers.

  5. Automate customer journeys: Automate repetitive tasks and engagement sequences using WhatsApp Business APIs, saving time and resources while ensuring consistent messaging.

 

How to lower customer acquisition costs (CACS) with WhatsApp Business

Let's explore some strategies and best practices to lower your CACs using WhatsApp Business:

 

1. Make sales during WhatsApp opt-ins (Chat-ins)

Make it easy for customers to start conversations with your brand through WhatsApp. Put "Chat-in" buttons on your website, "click-to-chat ads on social media and other touchpoints, encouraging visitors to chat with you on WhatsApp.

 

2. Segment and personalize WhatsApp campaigns

To achieve higher conversion rates and lower CACs, segment your audience based on preferences, behaviors, and demographics. Craft personalized WhatsApp campaigns that address each segment's pain points and showcase the value your brand offers.

 

3. Use WhatsApp integrations

Integrate WhatsApp Business with your existing systems, such as CRM (customer relationship management) software or eCommerce platforms. This integration allows you to synchronize customer data, track interactions, and streamline your marketing efforts, resulting in a more efficient customer acquisition process.

 

4. Automate customer journeys

Save time and resources by automating repetitive tasks and engagement sequences using WhatsApp Business automation. Design customer journeys that nurture leads, onboard new customers, and upsell existing ones. This ensures a consistent and personalized experience, freeing up your team's time to focus on high-value activities. Journeys is charles' powerful, easy-to-use WhatsApp automation feature.

 

5. Provide proactive support

Use WhatsApp Business to offer proactive support to your customers. Monitor interactions and reach out proactively to address any concerns or issues. By resolving problems promptly, you can enhance customer satisfaction and increase the chances of converting them into loyal brand advocates.

 

The role of charles as a WhatsApp Business Solution Provider

charles, a WhatsApp Business Solution Provider, offers a comprehensive software solution designed to empower DTC eCommerce brands with WhatsApp marketing.

 

We help our customers with strategies, best practices and a general setup to make WhatsApp your new marketing and highest revenue channel.

 

Simply by helping you set up your WhatsApp opt-in, connect your eCommerce shopsystem and sending WhatsApp campaigns. For brands looking to scale, we help you automate your entire journey, with customer support to help you maximize WhatsApp results.

 

charles is dedicated to helping businesses lower their CACs, increase customer lifetime value (CLV), and build strong customer relationships through WhatsApp marketing. 

 

To sum up: lower customer acquisition costs with WhatsApp

Using WhatsApp Business as part of your marketing strategy can significantly lower your customer acquisition costs (CAC) while increasing conversions for your DTC eCommerce brand.

 

By implementing strategies such as optimizing WhatsApp opt-ins, segmenting and personalizing campaigns, leveraging integrations, automating customer journeys, and providing proactive support, you can maximize the potential of WhatsApp Business.

 

Additionally, partnering with a trusted WhatsApp Business Solution Provider like charles can further enhance your efforts. A software like this, tailored specifically for eCommerce brands, helps you lower CACs, increase CLV, and build meaningful customer relationships.

 

Start your journey with charles today and book a demo.

 

 

FAQs about lowering customer acquisition costs

By effectively using WhatsApp Business, you can lower your CAC, improve customer engagement, and build stronger relationships with your target audience. WhatsApp Business is a powerful tool that should be used in conjunction with other marketing channels to create a comprehensive and integrated approach.

Can multiple users manage a WhatsApp Business account?

Yes, WhatsApp Business supports multiple users for a single account, enabling efficient collaboration and customer conversation management.

Is WhatsApp Business suitable for all types of e-commerce brands?

WhatsApp Business can benefit various types of e-commerce brands, regardless of their size or industry. It provides a direct and convenient channel for customer communication and can be tailored to suit different business needs.

How can WhatsApp Business help lower CAC compared to other marketing channels?

WhatsApp Business offers a personalized and direct way to engage with potential customers, reducing reliance on expensive advertising channels. By leveraging its features effectively, you can nurture leads, improve conversions, and lower your overall CAC.

Are there any limitations or restrictions when using WhatsApp Business for marketing purposes?

WhatsApp Business has specific guidelines and policies that must be followed to ensure compliance and maintain a positive user experience. It's essential to review and adhere to these guidelines to avoid any penalties or restrictions.

What metrics should I track to measure the success of my WhatsApp marketing campaigns?

To measure the success of your WhatsApp marketing campaigns, track metrics such as opt-in rates, click-through rates, conversion rates, and customer satisfaction scores. Other hard metrics include Revenue per recipient (RPR) and Return on Campaign Spend (ROCS). These metrics provide insights into the effectiveness of your campaigns and help you optimize them for better results.


Get updates straight
to your phone.

TRY IT OUT