Approach
We manage to LTV:CAC.
At scale, the question isn't whether marketing works. It's what the next dollar buys, and whether those customers pay it back.
Push CAC down, pull LTV up, and keep the ratio healthy while spend grows. That is the job.
Problems that show up at scale.
CAC climbs as spend grows
The first $50k paid back. The next $50k didn't. We find where marginal CAC breaks and why.
Platforms and CRM disagree
Ad accounts report conversions your sales team can't find. We tie spend to closed revenue.
Volume up, quality down
Lead counts hit target while close rates slip. We buy the leads that become customers.
Payback runs too long
Cash goes out months before it comes back. We shorten the cycle so you can reinvest sooner.
How we run it.
Cohort LTV, not guesses
We build lifetime value from your own customer data, by source and by cohort.
Marginal CAC, not blended
Budget moves on what the next dollar costs, not on the average that hides it.
Revenue feeds the bidding
Closed-deal data flows back to the ad platforms, so they buy customers instead of form fills.
The first 90 days.
Weeks 1 to 2
Unit economics audit
LTV by cohort, CAC by channel, and payback, built from your own data.
Weeks 3 to 4
Fix the tracking
Connect CRM revenue to spend and send offline conversions back to the platforms.
Weeks 5 to 8
Reallocate
Cut spend above target marginal CAC and move it to what returns.
Weeks 9 to 12
Scale tests
Push budget into the best channels and watch where the ratio holds.
What you see every week.
We report
- LTV:CAC by channel
- Marginal CAC
- Payback period
- Contribution margin
We don't lead with
- Cost per lead
- Click-through rate
- Platform-reported ROAS
- Impressions
More on this in why blended CAC hides your worst dollars.
Questions
What LTV:CAC ratio should we target?
A common benchmark is 3:1, but the right number depends on your margins, your cash position, and how long you can wait for payback. We set the target with you from your own numbers.
How do you calculate CAC?
Fully loaded: media, agency fees, creative, and tools, divided by the new customers that spend produced. We report it blended and by channel.
What is marginal CAC?
The cost of the next customer, not the average. As spend rises in a channel, each extra customer usually costs more. Marginal CAC shows exactly where that happens, so budget stops before it stops paying.
What data do you need from us?
Access to your ad accounts and analytics, plus CRM or sales data with revenue by customer. If the data is messy, cleaning it up is the first part of the work.
How soon will we see results?
Tracking fixes and reallocation usually show up in the first one to two months. Gains from SEO and higher LTV take longer and keep building.