In Australia’s fiercely competitive market, just attracting customers won’t cut it — businesses must use savvy, data-driven strategies that deliver real results while remaining cost-effective. As we head into 2025, successful marketing and client acquisition is all about balancing short-term wins with long-term customer loyalty. Explore the latest benchmarks, top-performing channels, and smart tactics to maximise your marketing spend and drive sustainable growth.
Introduction
Customer acquisition is pivotal in driving business growth, particularly in today’s fast-paced digital landscape. It involves attracting new customers and converting them into paying clients—an essential process for maintaining cash flow, expanding market share, and enhancing overall business performance.
For ecommerce and online-first brands, acquiring the right customers efficiently directly impacts profitability, especially when paired with robust retention strategies and a focus on Customer Lifetime Value (CLV). With rising competition and digital advertising costs, smart, data-driven acquisition is more critical than ever.
The Australian market presents unique opportunities and challenges for customer acquisition. With a population of just over 26 million, it’s a digitally mature and highly competitive market. Consumers here value convenience, trust, and tailored experiences—expectations that demand brands adopt targeted, localised strategies. Geographic isolation, delivery costs, and evolving privacy regulations further shape how businesses engage and convert customers.
To succeed, Australian ecommerce brands must focus on efficient, cost-effective acquisition tactics tailored to local behaviours, while remaining agile in response to global trends and regional pressures.
See more» Marketing and Client Acquisition in Australia: Strategies for Success in 2025
Understanding Customer Acquisition
What is Customer Acquisition?
Customer acquisition refers to the strategies and actions a business undertakes to attract and convert new customers. It encompasses marketing initiatives—such as advertising, content creation, social media engagement, email campaigns, and special promotions—and sales efforts, including lead nurturing and closing deals.
The objective is to guide potential customers through the buyer’s journey: from initial awareness to consideration, and ultimately, to making a purchase. While acquisition tactics vary by industry, target audience, and business model, they all aim to deliver compelling value and a seamless customer experience.
Key metrics
To evaluate how effective their customer acquisition efforts are, businesses track several essential metrics:
Customer Acquisition Cost (CAC)
CAC represents the average cost of gaining one new customer. It’s calculated by dividing the total spend on marketing, sales, and related operational expenses by the number of new customers acquired during a specific period.
For instance, spending $10,000 to acquire 100 customers results in a CAC of $100 per customer. Lowering CAC while maintaining customer quality is crucial for long-term profitability.
Customer Lifetime Value (CLV)
CLV predicts the total revenue a business can expect from a customer over the duration of their relationship. It’s determined by multiplying the average transaction value, purchase frequency, and customer lifespan.
For example, if a customer spends $50 monthly, purchases 12 times a year, and stays for 3 years, their LTV would be $50 × 12 × 3 = $1,800. A high LTV compared to CAC signals a strong return on acquisition efforts.
Acquisition Rate
This metric reflects the percentage of leads or website visitors who become paying customers. If 1,000 people visit a site and 50 make a purchase, the acquisition rate is 5%. Monitoring this rate helps businesses refine their marketing and sales processes for greater efficiency.
Customer Acquisition vs. Retention
Customer acquisition and retention serve different but complementary roles:
- Customer Acquisition drives business growth by bringing in new customers. It typically requires significant investment in advertising, promotions, and lead generation, critical for startups and companies expanding into new markets.
- Customer Retention focuses on maintaining and deepening relationships with existing customers through repeat sales, loyalty programs, and personalised engagement. Retention is generally 5 to 7 times cheaper than acquisition. Strong retention enhances LTV and can turn satisfied customers into brand advocates.
Both acquisition and retention are essential pillars of a successful business strategy.
See more» Customer Retention Strategies: Building Loyalty and Driving Growth in the Australian Market
Key Metrics for Measuring Success
Customer Acquisition Cost (CAC)
What is CAC?
Customer Acquisition Cost (CAC) is the average amount a business spends to convert a potential lead into a paying customer. CAC includes all costs directly tied to acquiring a new customer, such as:
- Advertising: Spend on platforms like Google Ads, Facebook, or traditional media.
- Marketing: Content creation, SEO, email marketing, events, and promotional campaigns.
- Sales: Salaries, commissions, bonuses, travel expenses, and client meetings.
- Software Tools: CRM systems, analytics platforms, marketing automation tools.
- Operational Support: Design, consulting, or agency services supporting acquisition.
- Incentives: Discounts, free trials, and special offers used to convert leads.
Why CAC Is Important
CAC is a key metric for assessing the cost-effectiveness and sustainability of your customer acquisition strategy. If CAC exceeds the revenue generated per customer (measured by LTV), you may be losing money.
A healthy business typically targets an LTV-to-CAC ratio of at least 3:1, meaning a customer generates three times more value than their acquisition cost. Monitoring CAC helps identify high-ROI channels, enabling smarter budgeting and strategy adjustments.
How to Calculate CAC
The basic formula is:
CAC = Total Acquisition Costs ÷ Number of New Customers
Total Acquisition Costs include:
- Advertising spend (online and offline)
- Salaries, commissions, and bonuses for sales and marketing staff
- Software tools (e.g., CRM platforms, analytics tools)
- Campaign expenses, promotions, and agency fees
New Customers Acquired is the total number of paying customers gained during the same period.
Example:
If a company spends:
- $5,000 on advertising
$3,000 on marketing salaries - $2,000 on CRM tools
And acquires 80 new customers, the CAC would be:
($5,000 + $3,000 + $2,000) ÷ 80 = $125 per customer
Lifetime Value (LTV)
What is LTV?
Customer Lifetime Value (LTV) measures the total revenue a business can expect from a single customer over the entire span of their relationship. It takes into account how much a customer spends per purchase, how frequently they buy, and how long they remain loyal to the brand.
LTV is a key metric for understanding the long-term value of customer relationships and ensuring that your CAC is well justified.
Why LTV Is Important
LTV plays a crucial role in measuring business sustainability and profitability. A high LTV relative to CAC means that customers bring in significantly more revenue than it costs to acquire them. The ideal benchmark is an LTV-to-CAC ratio of at least 3:1, indicating healthy return on investment.
In addition to guiding acquisition strategies, LTV helps:
- Set realistic marketing and retention budgets
- Identify and prioritise high-value customer segments
- Inform product or service enhancements aimed at boosting loyalty
- Support data-driven forecasting and business planning
How to Calculate LTV
The standard formula for LTV is:
LTV = Average Purchase Value × Purchase Frequency × Average Customer Lifespan
Let’s break it down:
- Average Purchase Value = Total revenue ÷ Total number of purchases
- Purchase Frequency = Number of purchases ÷ Number of unique customers
- Average Customer Lifespan = Average duration (months or years) a customer remains active
Example: If a business earns $10,000 from 200 purchases (average purchase = $50), and 100 customers make those purchases (purchase frequency = 2), and they stay for 4 years, the LTV is: $50 × 2 × 4 = $400 per customer
For a more refined calculation that accounts for profitability, you can apply the gross margin:
LTV = (Average Purchase Value × Purchase Frequency × Customer Lifespan) × Gross Margin
This approach gives a more accurate view of the net value each customer contributes, especially useful for businesses with varying product costs.
See more» Customer Lifetime Value (CLV) Strategies for Growth and Efficient Acquisition in 2025
Acquisition Rate
What is Acquisition Rate?
Acquisition Rate measures the percentage of leads or prospects who convert into paying customers. It’s calculated by dividing the number of new customers by the total number of leads (such as website visitors, inquiries, or trial users), then multiplying by 100 to express the result as a percentage.
This metric provides insight into how effectively a business turns interest into revenue and is essential for evaluating the performance of marketing and sales strategies.
Why Acquisition Rate Matters
Acquisition rate is a key indicator of conversion effectiveness. A high acquisition rate suggests that marketing messages are resonating, target audiences are well-defined, and the sales or user journey is smooth. A low rate, on the other hand, can signal issues such as misaligned messaging, unqualified traffic, or friction in the buying process.
Monitoring acquisition rate helps businesses:
- Evaluate the success of marketing campaigns and lead generation efforts
- Identify weak points or drop-offs in the sales funnel
- Focus resources on the most effective acquisition channels
- Align acquisition performance with overall cost-efficiency (as seen in CAC)
How to Calculate Acquisition Rate
The formula is simple:
Acquisition Rate = (Number of New Customers ÷ Total Number of Leads or Prospects) × 100
Examples:
- If a campaign generates 500 leads and 25 of them become customers:
(25 ÷ 500) × 100 = 5% acquisition rate - If a website gets 10,000 visitors and converts 200 into paying customers:
(200 ÷ 10,000) × 100 = 2% acquisition rate
Conversion Rate Optimisation (CRO)
What is CRO?
Conversion Rate Optimisation (CRO) is the process of analyzing user behaviour, identifying obstacles to conversion, and making strategic changes to boost the percentage of visitors who complete desired actions—such as making a purchase, filling out a form, or subscribing to a service.
Rather than focusing on attracting more traffic, CRO aims to maximise the value of existing visitors through data-driven improvements. This could involve optimizing page design, simplifying checkout flows, refining messaging, or enhancing calls-to-action (CTAs).
Why CRO Is Important
CRO is essential for driving higher ROI and improving cost efficiency. By increasing the conversion rate, businesses can gain more customers without spending extra on traffic acquisition, effectively lowering CAC.
Key benefits of CRO include:
- Increased revenue without increased ad spend
- Improved user experience and customer satisfaction
- Higher retention through frictionless interactions
- More efficient use of marketing budgets and resources
Core Elements of CRO
CRO strategies typically include the following components:
- User Behaviour Analysis: Use tools like heatmaps, session replays, and analytics platforms (e.g., Google Analytics) to track how users interact with your site.
- A/B Testing: Run controlled experiments comparing two versions of a page element (like a headline, image, or button) to see which performs better.
- User Feedback: Gather insights through surveys, polls, and usability testing to identify confusion, friction points, or unmet expectations.
- Funnel Optimisation: Remove barriers at key stages in the user journey—such as long forms, slow-loading pages, or unclear navigation.
- Personalization: Customize messaging, offers, and experiences based on user segments to increase relevance and engagement.
How to Measure CRO Success
The primary metric for CRO is the conversion rate, calculated as:
Conversion Rate = (Number of Conversions ÷ Total Visitors or Leads) × 100
Examples:
- If 100 people convert from 2,000 visitors:
(100 ÷ 2,000) × 100 = 5% conversion rate
Other supporting metrics include:
- Bounce Rate: High bounce rates may indicate poor relevance or usability issues.
- Average Time on Page: Can reveal engagement or confusion, depending on context.
- Exit Rate: Helps pinpoint where users abandon the process, identifying stages that need improvement.
Strategies for Effective Customer Acquisition
Digital Marketing Channels
Digital marketing channels are powerful tools for reaching both broad and targeted audiences efficiently. They help businesses increase visibility, generate leads, and drive conversions. Key channels include:
- Search Engine Marketing (SEM): Paid search ads, such as Google Ads, target users actively seeking specific products or services. For example, bidding on keywords like “best running shoes” can drive high-intent traffic. SEM is often paired with Search Engine Optimisation (SEO), which improves organic search rankings to capture traffic more cost-effectively.
- Social Media Advertising: Platforms like Facebook, Instagram, LinkedIn, and TikTok offer precise audience targeting based on demographics, interests, and behaviours. For instance, a fitness brand might reach young athletes with video ads on Instagram.
- Email Marketing: Personalised and automated email campaigns help nurture leads and convert them into customers. Drip campaigns can guide prospects from awareness to purchase, with email marketing delivering an average return of $42 for every $1 spent.
- Display & Programmatic Ads: Banner and programmatic ads boost brand visibility across websites and apps. Retargeting ads, which reach users who previously visited your site, can increase conversion rates by up to 150% compared to standard ads.
- PPC & Affiliate Marketing: Pay-per-click (PPC) advertising on platforms like Google and Bing drives immediate traffic, while affiliate marketing leverages partners who promote your products for a commission, expanding reach without upfront ad spend.
Strategy Tips: Segment your audiences for precise targeting, test different ad creatives, and monitor ROI closely. Use analytics tools to track performance and double down on high-converting channels.
Content Marketing
Content marketing attracts and nurtures potential customers by providing valuable, relevant information tailored to their interests. It helps establish credibility, build trust, and drive consistent organic traffic. Common strategies include:
- Blog Posts & Articles: SEO-optimised content (e.g., “How to Choose a CRM”) attracts qualified traffic and educates leads. HubSpot reports that businesses with blogs generate 3x more leads than those without.
- Videos & Webinars: Video content and live sessions help demonstrate product value and industry expertise. For example, a SaaS company might host a webinar on productivity hacks to capture interest and leads.
- E-books & Guides: In-depth downloadable content offered in exchange for contact details is an effective way to gather high-quality leads.
- Social Media Content: Shareable content like infographics, reels, and stories on platforms like X (formerly Twitter), Instagram, or LinkedIn boosts engagement and brand visibility.
Strategy Tips: Align your content with specific customer pain points, include strong calls-to-action, and distribute content across multiple channels. Track performance via engagement, traffic, and lead metrics.
See more» Content Marketing for Customer Acquisition in 2025: Strategies, Trends, and Best Practices
Landing Pages
Landing pages are dedicated web pages designed to convert visitors into leads or customers by highlighting a specific offer or action—such as signing up, downloading, or purchasing. High-converting landing pages often include:
- Clear Value Proposition: Communicate the benefit of your offer up front (e.g., “Get 20% Off Your First Order”).
- Effective CTAs: Use strong, action-oriented buttons like “Start Free Trial.” A/B testing your CTAs can improve conversion rates by as much as 20%.
- Minimal Distractions: Eliminate unnecessary navigation or links to keep users focused on the goal.
- Mobile Optimisation: Ensure your page loads quickly and displays well on mobile devices, which account for over half of all web traffic.
- Trust Signals: Boost credibility with testimonials, reviews, certifications, or secure checkout badges.
Strategy Tips: Use tools like Google Analytics and heatmaps to monitor behaviour, test headlines and visuals, and integrate landing pages with CRM systems for lead tracking. A well-optimised landing page can significantly outperform generic pages.
See more» Driving Growth: The Role of Landing Pages in B2B Customer Acquisition Strategies
Referral Programs
Referral programs turn happy customers into brand advocates by rewarding them for spreading the word. They are a cost-effective way to acquire new customers through trusted recommendations.
- Incentives: Offer dual-sided rewards—such as discounts, store credit, or freebies—for both the referrer and the new customer. For instance, “Give $10, Get $10” is a popular incentive model.
- Easy Sharing: Make it simple for users to refer others using links, social share buttons, or email templates.
- Timely Promotion: Prompt referrals after positive interactions, like completing a purchase or leaving a good review.
- Transparent Tracking: Use referral tracking software to ensure accurate attribution and prompt delivery of rewards, which builds trust in the program.
Strategy Tips: Promote your referral program via email, social media, and in-product prompts. Monitor performance by tracking referral conversions and CAC. Happy customers are up to 3x more likely to refer friends, so investing in excellent customer experiences pays off.
Cost Optimisation Techniques
Reducing CAC Without Compromising Quality
Lowering CAC while maintaining the quality of customers is key to sustaining long-term profitability. Here are proven strategies to achieve this balance:
- Refine Audience Targeting: Use data-driven insights to focus on high-intent prospects. Tools like Google Analytics and CRM platforms can help segment users by behaviour or demographics.
- Leverage Organic Channels: Rely more on organic marketing efforts such as SEO, content creation, and social engagement. These approaches attract customers without the recurring cost of paid advertising, significantly reducing CAC over time.
- Optimise Ad Spend: Shift budget to channels that offer the highest return on investment. For example, if email marketing produces a $42 return per $1 spent, reallocating resources from underperforming campaigns (e.g., generic display ads) can improve efficiency.
- Automate Marketing Workflows: Implement tools like HubSpot or Marketo to automate lead nurturing, email campaigns, and customer segmentation. Automation can reduce overhead by up to 15% while maintaining personalization at scale.
- Target High-LTV Customers: Focus acquisition efforts on customers with a higher LTV—those more likely to make repeat purchases or long-term commitments. For instance, SaaS providers might prioritize enterprise clients over SMBs to maintain a healthy 3:1 LTV-to-CAC ratio.
Key Reminder: Reducing CAC should never come at the cost of customer quality. Continuously monitor LTV, retention rates, and churn to ensure acquired customers bring sustained value.
Improving Conversion Funnel Efficiency
Optimizing your conversion funnel increases the percentage of leads who become customers—lowering CAC and enhancing acquisition performance without needing to scale traffic. Here’s how to improve funnel effectiveness:
- Simplify the Funnel: Reduce the number of steps between discovery and conversion. Features like guest checkout or one-click purchasing can improve conversion rates by 10–20%. Amazon’s one-click model is a standout example.
- Improve User Experience (UX): Enhance site speed, mobile responsiveness, and intuitive design. Even a 1-second delay in load time can lead to a 7% drop in conversions. Use tools like Google PageSpeed Insights to address performance issues.
- Run A/B Tests: Continuously test variations of key elements—such as CTAs, form fields, and pricing structures. Small changes, like updating a CTA from “Learn More” to “Get Started,” can boost conversions by 15%.
- Use Personalised Messaging: Tailor content and product recommendations based on user behaviour. For example, suggesting relevant products based on browsing history can increase conversions by 5–10%.
- Minimize Drop-Off Points: Identify high-exit areas in the funnel (like cart abandonment) and introduce recovery tactics such as exit-intent pop-ups offering discounts or free shipping. These strategies can recapture 10–15% of users who were about to leave.
Key Reminder: Use analytics platforms like Google Analytics, Hotjar, or Mixpanel to pinpoint funnel bottlenecks and iterate improvements. A more efficient funnel means you convert more leads without needing to increase your ad spend.
Retargeting Campaigns
Retargeting focuses on re-engaging users who’ve previously interacted with your brand but didn’t convert—offering one of the most cost-effective acquisition methods. Retargeted ads often convert at 2–3 times the rate of standard campaigns.
- Segment Your Audience: Break down your retargeting lists by behaviour (e.g., cart abandoners, product viewers, or trial users) and customize messages accordingly. For example, a 10% discount offered to cart abandoners can recover 15–20% of missed conversions.
- Use Cross-Platform Retargeting: Run retargeting campaigns across multiple platforms and devices (e.g., Google, Facebook, Instagram, LinkedIn) to maintain visibility and reinforce messaging. For instance, a prospect who visited your site might respond better to a visual Instagram ad later.
- Deploy Dynamic Ads: Serve personalised ads showcasing products or services that users previously viewed. E-commerce brands leveraging dynamic retargeting often experience a 30% boost in conversions.
- Control Ad Frequency: Set frequency caps (typically 3–5 impressions per user per week) to avoid overexposure, which can lead to ad fatigue and negative brand perception.
- Monitor ROI: Track key performance metrics such as cost-per-conversion and Return on Ad Spend (ROAS). Since retargeting focuses on warm leads, it generally offers lower CAC than first-time outreach campaigns.
Key Reminder: Pair retargeting with social proof, such as reviews or guarantees, to build trust. Refresh creatives regularly to combat ad fatigue and keep your messaging effective.
Benchmarks and Industry Insights
Australian Ecommerce Benchmarks
Average Order Value (AOV)
The average order value across the Asia-Pacific region, including Australia, sits at approximately AUD 106. However, this figure can vary significantly depending on the product category:
- Homewares tend to have a lower AOV due to smaller, more affordable items.
- Custom PCs, on the other hand, push the AOV higher because of premium pricing and bespoke configurations.
Takeaway: Retailers should align their pricing and bundling strategies with their product type. For instance, homeware stores can lift AOV through bundle deals, while tech retailers might focus on upselling higher-end components.
Conversion Rates
Australia’s average ecommerce conversion rate is 1.83%, though this varies widely by industry:
- Food & Beverage: 6.26%
- Home & Furniture: 4.94%
- Consumer Goods: 4.8%
- Beauty & Personal Care: 4.05%
- Fashion & Accessories: 3.57%
- Multi-Brand Retail: 2.34%
- Luxury & Jewellery: 1.46%
Takeaway: High-conversion industries often benefit from habitual or impulse buying. Sectors with lower conversion rates—such as luxury—should focus on building trust through social proof, high-quality visuals, and tailored experiences.
Cart Abandonment Rate
The average cart abandonment rate in Australia and the broader APAC region remains high at 82%.
Actionable tactics:
- Use exit-intent pop-ups with discounts or free shipping.
- Simplify the checkout process (e.g., guest checkout, multiple payment options).
- Launch email and ad retargeting campaigns to bring users back.
Cost Per Acquisition (CPA)
CPA varies by channel (Google Ads, email, social) and business maturity. There’s no “one-size-fits-all” target—it depends on:
- Your product margins
- AOV
- Operating costs
Example: With an AOV of AUD 106 and a 30% profit margin, your CPA should ideally be under AUD 31.80 to remain profitable.
Tip: Focus on lower-cost acquisition channels like email marketing and SEO, and regularly review CPA relative to your margins and customer value.
Customer Lifetime Value (CLV)
A healthy CLV-to-CAC ratio is 3:1.
For example: If CAC is AUD 50, your CLV should be at least AUD 150. With an AOV of AUD 106 and an average of 2.5 purchases per customer, CLV would reach approximately AUD 265, giving a solid 5.3:1 ratio.
Focus areas:
- Loyalty programs
- Personalised email campaigns
- Exceptional customer service
Email Marketing Benchmarks
- Open Rate: ~20.6% (note: may be skewed by privacy tools like Apple’s MPP)
- Click-To-Open Rate (CTOR): ~14.8%
- Click-Through Rate (CTR): ~3%
- Unsubscribe Rate: ~0.3%
Tips for improvement:
- Personalise subject lines and content
- Optimise email timing based on audience behaviour
- Design mobile-first campaigns (50%+ of users open emails on mobile)
- Clean inactive subscribers regularly
- Offer preference centres so subscribers can customise content and frequency
Measuring ROI and Adjusting Strategies
Tracking ROI from Customer Acquisition Efforts
Return on Investment (ROI) helps businesses determine the profitability of their customer acquisition strategies by comparing the revenue generated from new customers to the costs involved. Understanding ROI allows teams to optimise campaigns, allocate budgets more efficiently, and scale the most effective tactics.
How to Calculate ROI
The basic formula for calculating ROI is:
ROI (%) = [(Revenue from Acquired Customers − Cost of Acquisition) ÷ Cost of Acquisition] × 100
- Revenue from Acquired Customers: Total income generated from new customers over a defined period, typically tied to their initial purchases or short-term Lifetime Value (LTV).
- Cost of Acquisition: Total cost of acquiring those customers. This includes ad spend, sales team expenses, marketing tools, promotions, and is calculated as CAC × number of customers.
Example:
If a campaign spends $10,000 to acquire 100 customers and earns $15,000 in revenue, ROI is:
ROI = [($15,000 − $10,000) ÷ $10,000] × 100 = 50%
This means you earned $1.50 for every $1 spent.
Tools and Techniques for ROI Tracking
- Analytics Platforms: Google Analytics, Mixpanel, HubSpot — track conversions, revenue, and channel performance.
- Attribution Models: Use multi-touch attribution to understand how various touchpoints (e.g., ads, emails, content) influence conversions.
- Customer Surveys: Collect feedback on satisfaction and intent to repurchase — key for estimating LTV.
- Cohort Analysis: Compare customer behaviour by acquisition source or campaign to assess long-term ROI patterns.
Iterative Improvements
Iterative optimisation means continuously refining your acquisition strategies based on performance data and testing outcomes. This approach improves agility, reduces waste, and maximises ROI over time.
High-Impact Areas to Optimise
- Landing Pages: Test different value propositions, imagery, or CTAs. Even small changes can boost conversions by 10–20%.
- Ad Creatives: Experiment with ad formats (video vs. static), copy, or design to improve CTRs and lower CAC.
- Audience Targeting: Adjust segmentation by demographics, interests, or intent signals to acquire more qualified leads.
- Sales Funnel: Identify and fix drop-off points. A faster page load or shorter form can significantly improve funnel efficiency.
- Retargeting Strategies: Focus on high-intent users like cart abandoners or page viewers. Personalised offers can recover 15–20% of lost conversions.
Tools for Continuous Optimisation
- A/B Testing: Use platforms like Optimisely, VWO, or Google Optimise.
- Analytics: Google Analytics, Hotjar, and Mixpanel for behaviour and funnel tracking.
- CRM: HubSpot, Salesforce for segmentation and customer insights.
- Ad Platforms: Google Ads, Facebook Ads for retargeting and creative testing.
Strategy Tip: Focus first on high-traffic, low-conversion areas for quick wins. Prioritize tests based on potential ROI, document all results, and revisit customer retention and LTV data regularly to ensure you’re attracting valuable customers.
Customer Acquisition in Australia: Key Takeaways
Customer acquisition in Australia is driven by the need for efficiency in a small but competitive market. With a population of 26 million, high-ROI channels like email marketing, SEO, and retargeting are key, often outperforming broader campaigns. While average conversion rates hover around 2.5%, personalised and automated strategies—especially in email—can lift results to 5% or more. Segmenting by source and campaign type helps reduce wasted spend and boost performance.
Long-term success relies on retention and increasing Customer Lifetime Value (CLV). Brands that prioritize loyalty programs, post-purchase engagement, and personalised experiences improve their CLV-to-CAC ratio, allowing for more effective acquisition investment. As digital ad costs rise and privacy rules tighten, businesses must harness first-party data, attribution tools, and A/B testing to stay competitive and fuel sustainable growth.
Future Outlook
In 2025, successful customer acquisition will hinge on a strategic blend of technology, customer-centricity, and responsiveness to shifting economic and regulatory landscapes. Leading businesses will:
- Use AI and predictive analytics to deliver highly personalised experiences at scale.
- Emphasize first-party data and privacy-compliant practices to foster consumer trust.
- Explore emerging platforms like social commerce, AR/VR, and voice search to meet changing consumer preferences.
- Prioritize CLV and loyalty to counter rising CAC, using omnichannel approaches for cohesive customer journeys.
- Integrate cultural relevance and sustainability into their messaging to connect with values-driven, eco-conscious consumers.
By staying adaptive and embracing these evolving trends, brands can overcome 2025’s challenges and build strong, lasting customer relationships.
Additional Resources
Salesforce.com
Salesforce.com is a powerful cloud-based CRM platform that helps businesses streamline sales, customer service, marketing, and more. With advanced tools for automation, customer engagement, and real-time analytics, Salesforce enables organisations of all sizes to build stronger customer relationships and drive growth.
Whether you’re a small business or a global enterprise, Salesforce offers scalable, customisable solutions to support your business goals.
Mailchimp.com
Mailchimp is one of the world’s leading marketing platforms, designed to help businesses manage email marketing, automate customer engagement, and build meaningful relationships.
Beyond email, Mailchimp offers robust features including landing pages, CRM functionality, marketing analytics, social media ad integration, and e-commerce tools.
Acquired by Intuit in 2021, the platform empowers users to create highly personalised campaigns using customer data and AI-powered insights. Its user-friendly interface and wide range of integrations make it especially popular with entrepreneurs, startups, and growing brands seeking scalable marketing solutions.
BigCommerce.com.au
BigCommerce is a powerful SaaS-based e-commerce solution that enables businesses to launch, manage, and scale their online stores with ease. It offers a comprehensive suite of features including responsive design templates, advanced SEO tools, multi-channel selling (across Amazon, eBay, Facebook, and Instagram), and extensive integration capabilities with payment gateways and business apps.
Geared toward both small retailers and large enterprises, BigCommerce supports growth through customization, performance optimisation, and security. Its open architecture and API-driven infrastructure make it a preferred choice for businesses seeking flexibility and speed without sacrificing functionality.
Source: Ecommerce Benchmarks and Metrics in Australia. Gorilla 360. https://gorilla360.com.au/blog/ecommerce-benchmarks-and-metrics-in-australia/
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