Future-Proofing Your Customer Acquisition Strategy: Trends to Watch in 2025

How to protect against rising customer acquisition costs and changing privacy laws–while embracing new tech and a nonlinear customer journey

Customer acquisition costs will continue to trend upward in 2025, even towards unprofitability for small and medium-sized companies. 

As acquisition costs increase across channels–due to broader economic pressures, but especially when it comes to cost-per-click in already saturated digital ad marketplaces like Facebook and Google–savvy marketers will need to figure out how to future-proof customer acquisition strategies against rising CAC. 

And if that wasn’t enough of a hurdle, privacy regulations are forcing marketers to jump through new legal hoops to use data, so if you’re still relying heavily on third-party cookies, you’ll need to make amends quickly.

And in an era where the marketing funnel is evolving (some have even called it dead), customer acquisition becomes less about creating top-of-funnel awareness and leading customers down a one-way slide and more about accounting for a whole jungle gym of touchpoints.

That said, newer technologies and platforms involving AI are pushing marketers to engage in more tailored, machine learning-driven personalization strategies. Customers, however, are also craving more authentic connections with brands.

Overwhelmed yet? Here’s our advice to help you stay ahead of industry trends and adapt to changing customer behaviors in 2025.

Rising CPCs? Don’t be afraid to focus more attention on data, lifetime value, and brand strategy.

With cost-per-click rising across platforms and the impression market getting more saturated and competitive, customer acquisition just seems to be getting less and less profitable. Shrewd marketers will need to determine how to best allocate their marketing budget dollars to achieve the best outcome for their buck. 

Focus on customer lifetime value–then come back to customer acquisition

One solution? Shift focus to customer lifetime initiatives to offset rising CAC–after all, customers are worth more over their lifetime with a brand, not when they make their first purchase. 

When you can increase ROI by focusing on lifecycle marketing–ultimately increasing a customer’s lifetime value–then when the time is right, that increased revenue can be funneled back into customer acquisition initiatives.

Try lookalike modeling

Though CAC may be increasing, we’re also in an era where customers are more likely to try out new companies based on what they see online. That means impressions–and who you show them to–count. 

Lookalike modeling can help out. Oftentimes, it involves joining forces with a data partner that can help you discover audiences that already match the attributes of your best and most loyal customers. That way, you don’t have to throw precious (and expensive) CPC dollars into less-than-effective targeting. 

Brand strategy

Performance marketing based on CAC strategy might be easier to quantify–but as we’ve already touched on, there are many, many businesses competing for impressions. Performance marketing initiatives, therefore, might need to make way to better brand strategy.

Good branding is the basis for the longest and most loyal customer acquisition strategy, and becoming recognizable comes with its own impression benefits. This upfront investment sets the stage for lasting returns.

Privacy regulations are evolving. It’s time to step away from third party cookies

In addition to stepping away from third party data, businesses need to implement better security to protect customer data and prevent breaches–which have been increasingly on the rise.

While privacy changes may make some targeted advertising tactics less effective, there are ways to combat this. Improving content marketing, community building and loyalty programs may help, for one. Partnering with identity graph companies to better utilize first-party data will also help.

Phase out a reliance on third-party cookies, if you haven’t done so already

Even though Chrome may not be sunsetting third-party cookies, it’s going to become harder, given new privacy laws, to justify their continued use. A good first-party data strategy not only makes prospective customers happy, it’s also in-line with data regulations.

With the phasing out of third-party cookies, brands will rely more on first-party data collected through loyalty programs, email sign-ups, and direct interactions. Additionally, companies will need to offer a clear value exchange in return for first-party data from customers. 

Customers are more likely to provide data if they deem a value exchange is happening–and if companies are clear about how they use that data. The more trust there is between a company and its customers, the more freely data will flow. 

Focus on identity resolution

Identity graph companies will occupy a central role in customer acquisition strategies, especially as brands adapt to a cookieless digital landscape and stricter privacy regulations. 

Because identity graphs rely heavily on first-party data and consented data from trusted sources, and because they typically anonymize and encrypt data, compliance with regulations like the CCPA will be easier to attain–but you still get precise targeting.

Stitching together consumer identities across devices and platforms will be key to customer acquisition, as will consolidating data points into a single customer profile.

As traditional TV viewership continues to decline, the precise targeting of CTV will come to the fore. Identity graph providers can help here, too. When you stitch customer identities across CTV, mobile, and desktop, you get better targeting on all three devices.

Use AI to hyperpersonalize–but don’t forget about the customer need for authentic engagement

AI tools are continuing to develop and will no doubt improve customer acquisition strategies and personalization initiatives–however, consumers (particularly younger ones), are also seeking authentic experiences and engagement from brands.

AI-powered marketing tools are becoming more prominent

Many say hyper-personalization is the future of marketing, as is real-time personalization. Yet tailored content, product recommendations, marketing messages, and one-to-one personalization can only happen if prospective customers agree to it. Predictive analytics form the horizon of this technology–and as long as value is exchanged, AI-driven hyper-personalization may continue to develop.

The funnel is shortening and flexing

The customer journey is evolving–especially as social media platforms like Instagram and YouTube are becoming full-fledged ecommerce ecosystems in their own right. With the customer funnel increasingly becoming more fluid and purchases becoming more immediate, customer acquisition strategies need to adapt to the new environment and customer behaviors.

Authentic brand storytelling is on the rise

Consumers, especially Gen Z, are drawn to brands that align with their values. User-generated content will continue to be a key driver of trust and engagement, as will authentic content.

Future-proofing your customer acquisition strategy

Things are shaking up in customer acquisition in 2025–and all the changes will keep marketers on their toes. 

While there may be a lot to keep in mind, Stirista can help along the way.