Customer profitability is calculated by analyzing ________ and ________.
A) product marketing costs; customer support costs
B) customer-sustaining costs; production costs
C) costs of goods sold; customer discounts
D) customer costs; customer revenues

Question

Quizplus · Accepted Answer

Customer profitability is calculated by analyzing the costs associated with serving a particular customer and the revenues generated from that customer. This includes understanding the costs of all interactions with the customer, including sales, marketing, customer service, and support costs. It also involves examining the revenue generated from the customer, including the price paid for products or services and any additional revenue from the relationship such as referrals or cross-selling opportunities. Option A, B, and C do not accurately capture the two key elements of analyzing customer profitability.

Customer Profitability Is Calculated by Analyzing ________ and ________

Customer Profitability Is Calculated by Analyzing and