How does one dominate their market?
By having the most market share.
How do you get the most market share?
You can buy market share.
How do you buy market share without going broke doing it?
By having the lowest cost per acquisition in your market.
Let me give you a simple example.
For every customer you get it costs you money to buy them. You pay for a shop on the main street so people will walk in, you pay SEO or Paid Traffic experts to get you on the online equivalent of the main street. You pay sales people, marketing expenses, you offer discounts or value added free extras. All these are examples of paying to buy customers. To get a customer has costs attached to it. Some businesses are even prepared to lose money on acquiring a customer because they understand the lifetime customer value…ie the initial transaction with the customer will make a loss for the business and they rely on subsequent sales to that same customer to make a profit.
Compare these two businesses:
Business A has a cost of acquisition to buy customers of $50 ie for every customer they buy it costs them $50 to attract that customer.
Business B has a cost of acquisition to buy customers of $25 ie for every customer they buy it costs them $25 to attract that customer.
Both businesses have $100 to spend on buying new customers.
Business A can afford to buy 2 customers while Business B can afford to buy 4 customers for the same amount of money.
Who is going to win market share? Business B can afford to buy more customers and keep growing faster than Business A who is wondering how they are doing it.
If you want to grow quickly and dominate your market then you must be able to buy your customers (if you’re not buying customers then your growth rate is not predictable) at a cheaper cost per acquisition than your competitors.
There are only three steps to creating this market dominating position, you can read more about them here: