A company that uses a four-tier scheme to segment its customers by profitability:
A) Is using usage segmentation
B) Identifies customers who need different sorts of attention
C) Can increase profitability by increasing sales to lower-level customers
D) Cannot use relationship marketing effectively
E) Is accurately described by all of the above

Question

Quizplus · Accepted Answer

The four-tier scheme is used to segment customers by profitability, which means the company is identifying customers who need different sorts of attention. This can help the company provide customized services and increase profitability by focusing on high-profit customers while also providing attention to lower-level customers. Therefore, option B is the correct answer.

A Company That Uses a Four-Tier Scheme to Segment Its