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Customer Acquisition Cost (CAC) plays a significant role in pricing strategy. It is the cost associated with convincing a potential customer to buy a product/service. This cost is incurred by the organization while convincing a potential lead to become a customer. It includes product cost and the cost involved in research, marketing, and accessibility costs. In pricing strategy, it's important to cover the CAC and still have a margin for profit. Therefore, understanding CAC helps in determining the price of a product/service.
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We've created this template in Excel and Google Sheets that you can download and customize to your needs. whether you need to compare the competition's pricing strategy, the product's cost and ideal margins, different pricing tiers, historical customer price sensitivity, marketing spend, CAC, and LTV, feature-by-feature freemium conversion, or market share captured over time, this tool can help you do it. We'll now show how to use the pricing strategy spreadsheet template to utilize the top five pricing strategies to price a product like a new cell phone.
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Need to evaluate the best pricing strategy for a product? This Pricing Strategy spreadsheet includes the top pricing tools to evaluate cost, feature,...
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