Hello kind people of the internets,
I am trying to estimate the CAC for a gaming energy drink (similar to gfuel, but I want to sell in Spain) before fully commiting. So far I have:
- Built a prototype website, that says we're out of stock when you try to buy and records the intent
- Photoshoped a couple of ads
- Defined some narrow audiences (~30k people in Spain interested in gaming + drinks)
- Run the as for 4 days, spending ~60 EUR. CPM=2.2 EUR, CPC=0.3 EUR, CTR=0.7%, Freq=2.0
The maximum CAC the business can support is ~10 EUR, so for now I'm very far from the target.
Have I waited too little for results?
Are there quick improvements that I can make on the web/ads that will hopefully get some people to try to buy?
Is it just doomed and the best I can do is pull the plug?