446: What’s Your Real Customer Acquisition Cost? (It’s Higher Than You Think!)

Summary / IntroMost roofing contractors think they know their customer acquisition cost.They don’t.In this episode, I break down why CAC is almost always higher than contractors realize, what most people leave out when calculating it, and how misunderstanding this number quietly destroys profitability.If you’re spending money on marketing, salespeople, or agencies — and not truly tracking what it costs to land a customer — this episode will open your eyes and help you protect your margins.Show NotesCustomer Acquisition Cost (CAC) is one of the most misunderstood — and most dangerous — numbers in a roofing business.In this episode, Dave Sullivan explains why many contractors believe their marketing is “working” while profits continue to disappear. The problem isn’t leads — it’s the failure to understand the true cost of acquiring a customer.Dave walks through what must be included in CAC, including marketing spend, sales costs, overhead, follow-up systems, missed calls, and poor conversion rates. He explains how small improvements in close rate can dramatically reduce CAC without spending another dollar on marketing.This episode is essential listening for contractors who want to stop guessing, stop overspending, and start making decisions based on real numbers instead of gut feel.TakeawaysCustomer acquisition cost is more than just ad spendSales costs and overhead must be included in CACPoor follow-up and missed calls increase CAC dramaticallyImproving close rate is often cheaper than buying more leadsKnowing your CAC protects profitability and cash flowYou can’t scale profitably without understanding this numberChapters00:00 – Introduction05:40 – Why Most Contractors Miscalculate CAC13:12 – What Should Be Included in Customer Acquisition Cost24:05 – How Missed Calls and Poor Follow-Up Increase Costs34:18 – Improving Close Rate vs Buying More Leads44:30 – Using CAC to Make Smarter Business Decisions56:10 – Final Thoughts on ProfitabilityLinks Referenced in This Episodehttps://theroofercoach.comhttps://theroofercoach.com/resourcesCompanies MentionedRuby ReceptionistsSMA SupportProline👉 Download free tools and resources attheroofercoach.com/resources