Customer Acquisition Cost Reduction by 75% [Case Study]

How I Reduced Customer Acquisition Cost (CAC) by 75% for a B2C SaaS Brand Using Google App Campaign?

Here is a 7-step strategy I followed

1. Market Research

I conducted in-depth market research within the industry category I was working with, focusing on high-demand themes that aligned with market trends.

2. Keyword Research

After identifying the most in-demand market themes, I drilled down to find high-volume keywords within those categories to ensure optimal targeting.

3. Theme-Based Ad Copies

The detailed keyword research allowed me to create ad copies that resonated with users, increasing familiarity. I also incorporated persuasive and urgency elements to drive conversions.

4. Structuring Ad Groups by Theme

It’s essential to structure ad groups based on themes. This approach makes optimization more efficient—you can quickly pause non-performing ad groups without disrupting the rest of the campaign.

5. Setting a Tight Target for Cost per Install (CPI)

This step was critical. I set a cap for cost per install, which took time to get right. Starting with the minimum bid and gradually increasing it until the campaign launched was my method, though this sometimes took several days.

6. Targeting the Right Location

Effective location targeting was crucial. Ads were only kept live in areas where there was proven demand. When there was no data, I tested different locations and adjusted based on performance, turning off ads in low-demand areas.

7. Ongoing Optimization

There are several levels and steps involved in optimization. The most basic step was pausing under performing ad groups and keeping the high-performing ones running.

Through these strategies, I reduced the CAC from ₹7.97 per app install to ₹1.96 per install.

By Tarun Madan

Tarun Madan is the Founder of Marketing Wisdom, where he helps growth-stage companies scale without burning cash on guesswork. His clients—from D2C wellness brands to SaaS platforms—have hit 5–7x ROAS and 4:1 LTV/CAC ratios within 6-12 months by following frameworks that prioritize unit economics over vanity metrics. Through this blog, he shares proven strategies and practical insights for founders and growth teams looking to scale faster and smarter.