The cost per sale is measured simply by taking your revenue and deducting all your costs. All means all, like cost per click, eCommerce fees, etc.

The only way to survive and thrive is to retain customers. Recurring revenue is your focus. Once you paid for a customer, by paying for ads, or even selling on Amazon, you must retain them.

1. Ads for the first sale

Getting new customers is difficult. Paid Ads, cost per click, then they don’t buy, etc. However, it’s a must. You either have to buy ads, or an email list, or something to get the first purchase. But then….

2. Retention through delivering value

Deliver your promise. Ship fast, communicate, open doors to direct feedback, respond, etc. You already paid for the customer, don’t miss this step.

3. Recurring Revenue from your retention

Now that you know them, invite them back. Give them something. It’s an old book with proven principals that work, read Permission Marketing by Seth Godin.

4. Increase product base with value-added taxonomy

Customers who bought this, also bought this. It’s a little generic, but it works. People who bought more than once? maybe a coupon to share with friends. Be creative, be personal, build a relationship. Don’t SPAM them with generic stuff.