Should we pivot our go-to-market strategy if CAC outruns LTV?
#1
We’ve hit a point where our customer acquisition costs are climbing faster than our revenue per customer, and it’s making our current growth model feel unsustainable. I’m trying to figure out if we need a fundamental shift in our go-to-market strategy or if we can optimize our way out of this by improving our customer lifetime value.
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#2
Ive been in that spot. We sliced CAC by pausing one paid channel and doubling down on referrals and organic content. It gave a small CAC dip, but the run rate still climbs as we scale, and the math starts to feel out of balance.
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#3
We did a quick onboarding revamp to speed time to value. Onboarding completion rose 40% to 65%, and some early churn came down. LTV ticked up a bit, maybe 15%, but CAC still outran revenue per customer because big deals aren’t materializing fast enough. Hard to tell if it’s sustainable.
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#4
One quick question: have you checked whether the issue is really CAC or if the mix is skewed toward short pilots with low CLTV?
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#5
Sometimes I wonder if the problem is less about the GTM and more about timing. We kept growing while the product caught up, and now the numbers feel noisy. Might be worth stepping back and watching the churn loops for a bit before deciding on a direction.
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