Economic benefits associated with maintaining relationships with current customers include:
A)Small increases in customer retention can translate into large increases in profits.
B)Existing customers spend less money than new customers.
C)Order processing costs are higher for current customers.
D)All of these.

Question

Quizplus · Accepted Answer

Small increases in customer retention can lead to significant increases in profits as it costs more to acquire new customers than to retain existing ones. Option B is incorrect as existing customers can also spend more money than new customers. Option C is incorrect as order processing costs are generally lower for current customers due to their familiarity with the ordering process.

Economic Benefits Associated with Maintaining Relationships with Current Customers Include