acquisition-channel-advisor

## Purpose Guide product managers through evaluating whether to scale, test, or kill an acquisition channel based on unit economics (CAC, LTV, payback), customer quality (retention, NRR), and scalability (magic number, volume potential). Use this to make data-driven go-to-market decisions and optimize channel mix for sustainable growth. This is not a channel strategy framework—it's a financial lens for channel evaluation that helps you avoid scaling unprofitable channels or killing channels with fixable problems. Use when deciding how to allocate marketing budget across channels. ## Key Concepts ### The Channel Evaluation Framework A systematic approach to evaluate acquisition channels: 1. **Unit Economics** — What does it cost to acquire, and what's the return? - CAC (Customer Acquisition Cost) - LTV (Lifetime Value) - LTV:CAC ratio - Payback period 2. **Customer Quality** — Do customers from this channel stick around and expand? - Cohort retention rate (by channel) - Churn rate (by channel) - NRR (Net Revenue Retention by channel) - Expansion rate 3. **Scalability** — Can this channel sustain growth at the volume you need? - Magic Number (S&M efficiency) - Addressable volume (TAM of channel) - Saturation risk (diminishing returns) - CAC trend (increasing, stable, decreasing) 4. **Strategic Fit** — Does this channel align with your go-to-market strategy? - Customer segment match (SMB vs. enterprise) - Sales motion compatibil...