Different effectiveness measures are needed for company CRM efforts focusing on acquiring new customers than efforts focusing on cross-selling and up-selling to current customers.

Question

Quizplus · Accepted Answer

Acquiring new customers and cross-selling/up-selling to current customers are two distinct efforts that require different strategies and tactics, thus different effectiveness measures are needed to evaluate their success. Acquiring new customers may focus on metrics such as conversion rate, cost per acquisition, or customer lifetime value, while cross-selling/up-selling efforts may be measured through metrics such as incremental sales, customer retention rate, or average order value.

Different Effectiveness Measures Are Needed for Company CRM Efforts Focusing