πŸ“ˆRevenue & Strategy

Why Great Support Outperforms Discounts and Ads

Trust converts. The ROI case for support investment over promotion.

Quick Answer

For search, voice, and "just tell me what to do".

Dollar for dollar, investment in support quality often outperforms advertising or discounts for customer acquisition and retention. Great support converts at higher rates, retains longer, and generates referralsβ€”all at lower cost than paid acquisition.

Key Takeaways:

  • Support quality affects conversion rates
  • Retention is cheaper than acquisition
  • Referrals from support are free
  • Trust-based loyalty outlasts discount loyalty
  • Support investment has compounding returns

Playbook

1

Calculate acquisition cost vs. support investment

2

Track support impact on conversion

3

Measure retention value of support quality

4

Compare referral cost to paid acquisition

5

Reallocate budget based on ROI

Common Pitfalls

  • Over-investing in ads while under-investing in support
  • Discounting without fixing support issues
  • Ignoring retention in favor of acquisition
  • Not tracking support ROI

Metrics to Track

Cost per acquisition by channel

Retention rate by support quality

Referral rate and value

Overall customer acquisition cost

FAQ

Should I cut ad spend to invest in support?

Test it. Many businesses find shifting budget from acquisition to retention/support improves overall ROI. Start with experiments that measure support investment impact vs. equivalent ad spend.

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Salarsu - Consciousness, AI, & Wisdom | Randy Salars