Have you ever wondered if video can be used to lower B2B customer acquisition costs? If you’ve answered “yes,” then this post will be very useful with some valuable tips. Video conferencing is the new way for B2B companies to lower customer acquisition costs. This arguably means that there’s a high probability of reaping huge savings on leads that are transferred via a lead nurturing process.
Even in the digital era, you still cannot ignore the need for effective video marketing to reach out to your potential buyers. From producing high-quality and engaging videos to promoting them on social media and their other preferred channels, video marketing is a must in any B2B lead generation campaign.
Customer Acquisition Costs are a challenge for all businesses in every industry. The problem is the cost of customer acquisition has grown, while return on investment (ROI) from customer acquisition programs has continued to erode. In this study, we asked the executives who work on customer acquisition efforts within B2B companies to share their experiences and expectations on how they’ve used video marketing to that can lower Customer Acquisition Costs and achieve an excellent Rate of Interest.
Lowering customer acquisition costs is a big challenge for all businesses. It is an achievable goal, but the effort depends on the channel you use to acquire customers. Video marketing is one of the channels that can lower customer acquisition costs significantly.
With the ability to generate leads at a fraction of the price of traditional channels, video is fast becoming an essential tool in any B2B company’s customer acquisition arsenal. Companies are leveraging this medium across industries from technology to professional services to drive qualified leads and create demand for their products.
According to a study, marketers who use video cut their customer acquisition costs in half
- Video generates 25x more views & 35% more shares than text and image combined
- On Facebook, videos get 3X more engagement than photos or links
- Using video can increase your sales significantly
Table of Contents
- Learn how to create a video strategy for your B2B business
- This simple tactic will save you money on customer acquisition.
- What is customer acquisition?
- The process of getting more people to give you money!
- Customer acquisition is making money from your existing customers
- Why customer acquisition is so important
- What Comes under Customer Acquisition Costs?
- Don’t drain your wallet with Customer Acquisition Costs
- Learn how to calculate customer acquisition cost (CAC)
- Every business has the same customer acquisition costs
- This is what you can expect from customer acquisition costs
- Think your company is spending a lot on customer acquisition?
- Ways to Reduce Customer Acquisition Cost
- Here are ways to reduce your cost of customer acquisition
- Tips on how to reduce customer acquisition costs…
- 6 ways to reduce your CAC
- How do you reduce your customer acquisition cost?
- The faster you grow, the faster you’ll fail
- You could be reducing your customer acquisition cost
- Benefits of video marketing for customer acquisition
- Video Marketing is a great way to acquire customers
- Video marketing isn’t about popularity; and it’s about customer acquisition
- This is why video marketing is more cost-effective than blogs
- Video marketing generates 6X more leads
- Ways to increase customer acquisition by Storytelling
- Improve your sales with storytelling
- Reasons why customers trust the storytelling
- Getting more customers can lead to exponential growth
- Ways to connect with your customers
- How social media videos can attract customers?
- Every millennial watches social media videos. Here’s why your business should be on it.
- Did you know that watching videos on social media sites can boost your business?
- In the age of video, it’s critical to compile a reel of your process
- This is why you should upload videos
- Social videos create strong engagement
- How do you scale your customer acquisition channels?
- How do you scale customer acquisition channels?
- Why is your customer acquisition channel not scaling?
- To scale your customer acquisition channels
- Copy this process to scale your Facebook paid ads
- Finally, what you need to do to lower B2B Customer Acquisition Costs Using Video?
Learn how to create a video strategy for your B2B business
- Talk about your company’s products and services
- Call out your competition to buy Instagram views
- Create explainer videos
- Post case studies and testimonials
- Interview experts in your industry (founders, investors, key clients)
This simple tactic will save you money on customer acquisition.
- Launch a free training series
- Send a weekly email to your existing customers that include the new video
- Once they get to page 5, tell them to click the link in the footer of the email, go watch that video
- At the end of the video, tell them something like, “if you liked this, please hit this link below.”
You spent 30% of your budget on cold emails but gained no customers. What went wrong?
- Your lead magnet was average – it didn’t contain a sales video
- Your sales pitch was too complicated and boring
- Your video was too short and didn’t explain your product well
- You didn’t tell people how to buy after viewing your sales video
What is customer acquisition?
Customer acquisition is associated with convincing consumers to buy a business product or service that includes marketing and advertising costs. Customer acquisition cost must consider other metrics data, especially by value to the company and ROI of acquisition. Customer Acquisition helps every business to decide how much resources you can profitably spend on a single consumer.
The process of getting more people to give you money!
Step 1 – Get new customers
Step 2 – keep them coming back for more
Step 3 – Optimise your business for growth
52% of startups fail because they don’t have customers
- If your start-up fails and you have no customers, it’s not the end of the world
- Look at other companies that failed but still grew
- You won’t know what works unless you try
- Paid customer acquisition is a viable option
Customer acquisition is making money from your existing customers
- Start by analyzing your best-performing ads or posts
- Focus on the top of the funnel (TOFU)
- Create a lead magnet and attract new leads
- Lower price and increase scarcity with ladders/tiers
- Use remarketing to message the lost opportunities
Why customer acquisition is so important
- The lifetime value of your customers (LTV) is crucial
- Top of the funnel > mid-funnel > bottom of funnel
- You need to find a balance between LTV and CAC
- Factors into customer acquisition 1. Infrastructure 2.Targeted value proposition
- Different ways to calculate CAC (through ‘x’ amount or through ‘y’)
What Comes under Customer Acquisition Costs?
Customer Acquisition Costs include every penny you spend to attract new users.
You don’t know what comes under customer acquisition costs.
- Marketing costs (Unbilled marketing, what you pay influencers, your own time, etc.)
- Sales team salaries
- Customer support
- Office Space and supplies
- Entertaining new clients on a day-to-day basis
Don’t drain your wallet with Customer Acquisition Costs
- Banners and social media promotion
- PPC management
- Video production and creation of valuable content material
- Influencer marketing
- Offline marketing and advertising
Learn how to calculate customer acquisition cost (CAC)
- Identify your CAC
- Establish the Value of a Customer
- Understand why Cost of Customer Acquisition is important
- Work on reducing customer acquisition cost
- Make your customers more value for their money
Every business has the same customer acquisition costs
- Unwillingness to spend money to acquire a customer
- Communication gap between sales and marketing team
- Lack of clear pricing strategy
- No conversion tracking. You’ll never know what’s working if you don’t measure the results. (Free trial? Gated content? Discounts?)
- Poor use of social media.
This is what you can expect from customer acquisition costs
- The overall costs to acquire a single client
- The paid marketing costs
- The cost of a lead generation service
- The sales and marketing costs
Think your company is spending a lot on customer acquisition?
You’re missing out 1/3 of your customer acquisition costs
- Organic reach decline
- Direct Clicks Cost on Instagram Ads
- Influencer marketing spend on Instagram
- Advertising cost for your website/blog / Facebook ads
- Outbound sales cost before the first meeting (cold calling or emailing)
- Outbound activation cost after 1st meeting (warm calling)
Businesses need to consider the customer acquisition cost as a necessary thing in estimating how much value consumers bring to their business. It must be calculated by dividing the expenses incurred and return revenue from consumers. If your consumer acquisition is more than the revenue, in that case, you need to take some practice measures.
Here are the few elements that come under the Customer acquisition cost,
- Events and conference Sponsorships.
- Marketing and Salesperson salaries.
- Marketing and Advertising agencies cost for creative needs that come under third-party consultants.
- Equipment’s used for creating videos, campaigns like Mobile phones and Cameras.
- Customer Relationship Management software, marketing automation tools, etc.
- Video Advertising costs such as TV ads, OTT ads, and social media ads.
- Discount added to the customers, price discounts also added to the customer acquisition cost.
- Sales and marketing expenses of that company or a business.
Ways to Reduce Customer Acquisition Cost
Businesses think it might not need to reduce your Customer Acquisition Cost, but at some point, it will boost your profits.
Focusing on Customer Retentions:
Always serve the best quality products or services to satisfy your current and new customers. Offer excellent customer loyalty programs to satisfy them to boost their referral chances.
Leverage Engaging Content:
Find the various Ways to Create and share Engaging Content for Your Audience. Content marketing does not cost must generate the leads. Attract your targeted customers based on their preferred content.
Boost the Conversion Rates:
Try to develop a strategic plan to improve your conversion rate. Track and analyze the consumers’ behaviors to make a change in your company to boost the revenue.
Target Right Consumers:
First, every business need to You need to define their goals to reach the right customers. Targeting is ideal for reaching the perfect consumers that means you introduced marketing efforts in the right place.
Follow the Pareto Principle:
As per the Pareto principle, if you apply 20% of the efforts in your marketing, it gives 80% of the results. Simply that 20% of the consumers will provide you with 80% of the returns instead of targeting new ones.
Decrease your Churn Rates:
Every time users will quit for the new service, that will increase your customer acquisition cost. So, keep on tracking your churn rates and take necessary measures to lower the churn rates by making your services attractive.
Marketing Automation gives you faster results such as lead generation and sales. Automating your marketing efforts helps to boost your revenue, which is equal to the CAC.
Here are ways to reduce your cost of customer acquisition
- Word Of Mouth
- Create a blog where you can help people solve problems and link it from your bio
- Produce content that helps attract prospects to your website or product
- Spend on optimization of your AdWords ads
- Get more retargeting on your website and app
Tips on how to reduce customer acquisition costs…
- Identify your specific customer
- Personalize the sales process and content for your unique audience
- Get the ball rolling with email and Facebook advertising
- Automate follow-up by posting
6 ways to reduce your CAC
- Nail down a product feature list (ask your users, not your boss)
- Engage with competitors users to steal their initial customers
- Engage with potential users before you’re live
- Always be testing
- Pay word of mouth influencers to advocate for you
- Get your best affiliates and resellers in on day one.
How do you reduce your customer acquisition cost?
- Focus on relevancy before engagement
- Maximise follow interaction with automated DMs
- Test every aspect of your Instagram marketing
- Set a clear objective for all content and ads
- Use webinars to convert followers into leads
- Use events to reach new audiences
- Chillout, don’t try so hard
The faster you grow, the faster you’ll fail
- Increasing customer acquisition cost by a factor of 10 is probably bad
- Adding features can kill your conversion rate
- Get feedback from old customers
- Respect change-ability
You could be reducing your customer acquisition cost
- Whenever you’re out with friends, talk to people
- Have a consistent tactic when growing your following
- Use Facebook Ads for easily affordable growth
If you can’t reduce your customer acquisition cost, you’re probably not growing as fast as you think
- Put your own money on the line
- It’s more important to target the right audience than the one with the biggest budget
- Try this Growth Hacking experiment
Benefits of video marketing for customer acquisition
Video marketing is changing the customer acquisition cost, and it has related to multiple services. Let’s dive into its services.
A great tool to build Trust and Credibility:
Driving credibility and trust will involve a great strategy that leverages several elements for your communication. A video is a powerful tool conveying company ethics and culture, brand Storytelling. Storytelling videos capture the audience and driving brand advocacy.
Video catchy caters short attention spans:
By reducing the customer’s attention span, most human beings need something to attract the customers and keep focused. Better way to create Engaging video content quickly help consumers to understand your products.
Educate potential Buyers:
Educate your potential buyers to buy or make a purchase decision. Consumers are turning to view more products and services content, so try to create videos for frequently asked questions.
Search Engines Love Video:
Search engines love videos to rank high in search engines. Google has updated its search results by embedded video snippets and auto-play videos after each other. The right brand keywords tagged to that video-related topics will provide organic solid search results.
Mastering the share:
Creating the most informative and exciting video content will go viral across social media platforms. If your content resonates with the customers can assure people being share.
Video Marketing is a great way to acquire customers
- It’s not expensive. You can use your smartphone
- Word of mouth generates leads three times faster than any other channel
- First impressions are lasting impressions when you capture emotion and personality through video
- Video Marketing builds trust with your target audience
Video marketing isn’t about popularity; and it’s about customer acquisition
- People say video marketing will work wonders for you
- Video marketing will increase leads by 90%
- Video marketing will help you connect with your audience more easily
- The ROI of video marketing is too good to be true
This is why it’s important to use video marketing as part of your customer acquisition strategy
- Video marketing increases brand awareness
- It allows you to connect with more people
- You can use it to sell and market more effectively
- It helps build trust (use the testimonial video)
Video marketing is the best way to explain your product or service, regardless of industry. The question you have to ask yourself is: are you content with your current growth?
- Video marketing has increased conversion rates by up to 80%
- Video marketing is the most effective at gaining potential customers
- Video marketing has a 3x higher engagement rate than text posts.
- You can leverage platforms like Instagram and Facebook to create your video content for free
This is why video marketing is more cost-effective than blogs
- Videos can be shared via email or social media channels
- You can make a longer format video
- You can install a call-to-action at the end of your video
- Video drives engagement on your Instagram posts
Video marketing generates 6X more leads
- Videos engage viewers for longer
- People retain 65% of what they watch
- Videos are an invitation to connect
- They create a visual brand presence
- They convert more leads into sales
If you’re running a retail or service business, this is a great time to invest in video marketing
- Engages followers, giving them a reason to stick around
- It’s cheaper than most other approaches
- YouTube, the platform of choice for video marketers, is growing faster than ever
- People spend more time perusing video content because it’s easier to digest
Ways to increase customer acquisition by Storytelling
Storytelling videos can make a big difference in all directions, but every story can easily rely on major elements. Emotions, Empathy, and Personality can evoke inspiring reactions and feelings. Storytelling can depend on your skills and professional inspiration to make the process faster and more productive. Let us dive into mind-boggling storytelling ways to increase customer acquisition.
- Focus on the common pain points, which focus on common problems and show how to resolve their customer issue.
- Do not try to sell them something to the audience; it is all about evoking the intense feelings and emotional reactions of users.
- Show the client stories in the form of storytelling to prove your points. Understand your audience queries more clearly. Support them with a great story with excellent examples.
- Promote your storytelling videos through the right channels. Storytelling is one of the most powerful customer acquisition drivers, and make sure to use the ultimate social media platforms.
- Add a strong Call To Action as a primary objective to reach the right audience.
- Emphasize emotions that represent a core component of storytelling and convert them as a returning consumer.
Improve your sales with storytelling
- Storytelling is proven to increase con/version rates
- You can leverage customer testimonials for better conversions
- Build a story arc for each new customer you acquire
- Get honest feedback from customers about products
- Start a blog and provide value before asking for something in return
Reasons why customers trust the storytelling
- They are humans like us. And everybody loves stories
- Stories can make your product or service much more relatable
- Stories are incredibly good at convincing the customer to convert
- Stories can make your business appear more magical and trustworthy to your customer
- Stories give a business personality and character
Getting more customers can lead to exponential growth
- Use something shared by your followers, like Stories or Hashtags
- Run a contest/giveaway to get more customers
- Create a fantastic cover photo that will get them intrigued
- Be precise in your caption. Use the CTA below
- Share a Reel when you have a lot of products to show off
Ways to connect with your customers
- Ask open-ended questions and tell stories
- Your story is so much more than what you do. Talk about it
- Create a dialogue based on what people like
- Make your customers’ lives easier by helping them
If a picture paints a thousand words, you should paint a thousand customers
- Create tools customers can use to share your story
- Share behind the scenes stuff (who you are)
- Show how you serve customers
- Show why your product or service is better (via testimonials or case studies)
Any B2B company would like to evaluate the ROI of their marketing campaigns, and they must start with their customer acquisition cost. The Lifetime Value of the customer, and the metric, is a key element in B2B marketing. Any marketing and Advertising channel have an idea of these two factors. Video marketing channels should invest more and less in, and the other thing is knowing your marketing department’s strengths and weaknesses.
There are two ways to get more customers through your social media
- You can post helpful content and engage with your audience to find out exactly what they need
- You can do sponsored videos. This is an excellent way to get your business in front of people who are already interested in your niche.
- Securing more leads
- Engaging more customers
- Boosting Brand awareness
- Show off your expertise
- YouTube links are king on social
- Consider streaming live video
- More Videos equal to more sales
- Videos grab attention and keep people on your site
- Videos can communicate your service or product in a creative way
- Videos are easy to share, especially on mobile
- You need fewer words than a blog post to explain something
In the age of video, it’s critical to compile a reel of your process
- Demonstrate your customer service skills
- Showcase your expertise and experience
- Present how you are helping users.
- Show a range of emotions. Be funny or sad sometimes too
This is why you should upload videos
- Videos can increase your followers
- Videos have lower CTA completion rates which is good
- Videos can increase engagement and reduce ad costs
- Video content keeps people on Facebook longer
- Videos are not affected by fake news on Facebook
Social videos create strong engagement
- Videos command higher prices on social media
- Video content is cheaper to produce
- Video is more shareable than text
How do you scale your customer acquisition channels?
Every B2B company aims to acquire as many as possible customers growth to provide a lifetime loyal consumer base where the companies and investors advantage. Gaining new consumers for the expense is called the cost of customer acquisition. Marketing and Advertising are the essential expenses in acquiring consumers. Customer Acquisition Cost is simply defined as Total marketing spend divided by total new customers.
How do you scale customer acquisition channels?
- Don’t spread yourself too thin
- Don’t waste money on non-conversion, i.e., leads that don’t become customers
- Identity what prospects are looking for when they land on your website
- Be clear about who your target market is
- Focus your attention on social media channels where your audience is hanging out
Why is your customer acquisition channel not scaling?
- You do not involve your team in the scaling process
- You have never tried to scale
- You keep doing what doesn’t work
- You haven’t taken enough time to plan out your strategy
- You don’t invest in technology
- Your sales funnel has leaks
To scale your customer acquisition channels
- Keep track of metrics
- Experiment with different content
- Optimize your delivery of that content
- Make it mobile-friendly
Remember, even if you only have one customer acquisition channel today,
- It’ll change multiple times next month
- Here’s how to figure out which channels will work for you
Your customer acquisition channels are broken
- You’re not looking at your customer acquisition like a business person
- You’re not consistent
- You’re doing it manually
- You don’t trust that there is automation involved in business
- Your marketers don’t know your product well enough to copy it
- You don’t know “why” your customers buy
- You got greedy too early – you’re trying to measure ABM and make data
Copy this process to scale your Facebook paid ads
- Start with a 100K a month budget
- Use retargeting to get more eyes on your product
- Ask for personas when you speak to a sales representative
- Make sure you target the right country/city
- Create a strategy for every customer segment
Finally, what you need to do to lower B2B Customer Acquisition Costs Using Video?
- Including video in your b2b marketing strategy
- Finding high-quality videos for your business
- Sprit of the video
- Understand who buys your product
- Find customers with similar interests.
- Promote customer voices, sponsored content, or event video
- Produce your own branded video segments (or hire someone to do it)
- Send the video link to prospects in a follow-up email campaign.
- Make the video company branded and shareable on platforms other than your own website.
- Video CTA’s
- Video pre-calls
- Video demos
- Video email series
- Video marketing is a powerful tool.
- Know what to include in your video
- Create videos tailored to target audiences
- Start using video today!
- Train content owners to create videos.
- Create videos for larger audiences
- Raise awareness and improve conversions
- Integrate with the sales process
- Use shorter videos
- Redo user interface on the site
- Use promotional tools to convert more traffic into leads.
- Create targeted video content
- Spread the word about your video and site using social media
- Use call to action buttons on your videos
- New customers are typically more expensive to win.
- Video can help reduce the cost of customer acquisition.
- B2B Business models tend to have shorter buying cycles.
- Video can be used for sales, events, training, demos, etc…
- If you already have content, you can skip a lot of video production costs.
- Video has high ROI and increases customer loyalty (54 percent)
- Video can be used in many channels to attract prospects.
- Explainer videos on your website.
- Videos embedded in tweets for brand awareness and lead generation.
- Promotional videos by sharing on social media.
- Product videos for lead nurturing and conversion
- Vary video size
- Use video when a prospect is ready to talk.
- Promote the video on your website and social media pages
- Keep the videos short and interesting.
- Measure how effective they are
- Plan your video marketing strategy beforehand.
- Use customer stories
- Show your products in action.
- Test different video styles to optimize for business goals
- Produce a how-to video about problem-solution
- Serve mobile-optimized videos on social platforms.
- Use a tool like Wistia and Vidyard to create and host your videos.
- Think video
- Get personalized content
- Create engaging content
- Webinar video
- Video demos/case studies
- Social media video
Key Takeaways from this article:
A Guide for Lowering B2B Customer Acquisition Costs Using Video
If you need more customers NOW, streamline your Video Customer Acquisition
Videos can be a great addition to any marketing campaign, but you must know how to get the most out of them.
Use video in your B2B marketing strategy to get better results and grow your business faster!