Lou is trying to increase the lifetime value of his customers.Which of the following is a way for him to augment his customers' lifetime value?

Question

Quizplus · Accepted Answer

Increasing the referral rate would lead to more customers coming in through word-of-mouth and therefore increasing the lifetime value of customers. Decreasing the retention rate or increasing the discount rate may attract short-term customers but will not necessarily increase lifetime value. Increasing marketing communications expenditures may attract more customers but does not necessarily increase lifetime value without a strategy to retain and engage those customers. Therefore, option C is the best choice.

Lou Is Trying to Increase the Lifetime Value of His