The "best customer model: called RFM:
A)helps marketers determine what kinds of new customers to acquire.
B)is a multiplicative model composed of recency, frequency and monetary value.
C)both of the above.

Question

Quizplus · Accepted Answer

The RFM model is a multiplicative model based on three key factors: recency, frequency, and monetary value. This model helps marketers determine which types of new customers to acquire and is therefore represented by choice (A). Therefore, both choice (A) and (B) are correct, making the correct answer choice (C).

The "Best Customer Model: Called RFM