How To Calculate Cost of Acquisition Ratio in Deltek Costpoint | Arithmix

Calculating the cost of acquisition ratio is an important step in understanding the financial health of your business. This ratio is used to determine the cost of acquiring a new customer or client, and it can be calculated using a few simple steps.

The first step in calculating the cost of acquisition ratio is to determine the total cost of acquiring a new customer. This includes all of the expenses associated with marketing, advertising, and sales efforts. It may also include the cost of any incentives or discounts offered to new customers.

Next, you will need to determine the total number of new customers acquired during a specific period of time. This could be a month, a quarter, or a year, depending on your needs. Once you have this number, you can divide the total cost of acquisition by the number of new customers to get the cost of acquisition ratio.

For example, if your total cost of acquisition for the month of January was $10,000 and you acquired 100 new customers during that time, your cost of acquisition ratio would be $100 per new customer.

What Is Cost of Acquisition Ratio?

The cost of acquisition ratio is a financial metric that helps businesses understand how much it costs to acquire a new customer or client. This ratio takes into account all of the expenses associated with marketing, advertising, and sales efforts, as well as any incentives or discounts offered to new customers.

By calculating the cost of acquisition ratio, businesses can better understand the effectiveness of their marketing and sales efforts. They can also use this metric to identify areas where they may be overspending or where they could be more efficient in their customer acquisition efforts.

When Is It Valuable To Calculate Cost of Acquisition Ratio?

The cost of acquisition ratio is valuable for businesses of all sizes and industries. It is particularly useful for businesses that rely heavily on customer acquisition, such as startups and small businesses.

By calculating the cost of acquisition ratio, these businesses can better understand the financial impact of their marketing and sales efforts. They can also use this metric to identify areas where they may be overspending or where they could be more efficient in their customer acquisition efforts.

Additionally, the cost of acquisition ratio can be useful for businesses that are looking to expand their customer base or enter new markets. By understanding the cost of acquiring new customers in different markets, businesses can make more informed decisions about where to focus their marketing and sales efforts.

In conclusion, calculating the cost of acquisition ratio is an important step in understanding the financial health of your business. By taking into account all of the expenses associated with acquiring new customers, businesses can better understand the effectiveness of their marketing and sales efforts and make more informed decisions about where to focus their resources.

How Do You Calculate Cost of Acquisition Ratio in Deltek Costpoint

Deltek Costpoint itself isn’t naturally geared towards letting you calculate complex metrics like Cost of Acquisition Ratio. As an alternative, teams typically use products like Arithmix to import data from Deltek Costpoint and build out dashboards.

What is Arithmix?

Arithmix is the next generation spreadsheet - a collaborative, web-based platform for working with numbers that’s powerful yet easy to use. With Arithmix you can import data from systems like Deltek Costpoint, combine it with data from other systems, and create calculations like Cost of Acquisition Ratio.

In Arithmix, data is organized into Tables and referenced by name, not by cell location like a spreadsheet, simplifying calculation creation. Data and calculations can be shared with others and re-used like building blocks, vastly streamlining analysis, model building, and reporting in a highly scalable and easy to maintain platform. Data can be edited, categorized (by dimensions) and freely pivoted. Calculations are automatically copied across a dimension - eliminating copy and paste of formulas.

Arithmix is fully collaborative, giving your entire team access to your numbers and the ability to work together seamlessly.

Calculating Cost of Acquisition Ratio in Arithmix

Calculating metrics like Cost of Acquisition Ratio is simple in Arithmix. Once you've created your free account, you’ll be able to import your Deltek Costpoint data, and use it to create natural language formulas for metrics like Cost of Acquisition Ratio.

Arithmix is designed to give you the power to build any calculations you want on top of your Deltek Costpoint data, while also being easy to use and collaborate on. You can share your dashboards with users inside and outside of your organisation, making it easy to empower your whole team.