One of the reasons marketers use loyalty segmentation is
A) the high cost of finding new customers.
B) government tax incentives for loyalty.
C) accounting difficulties associated with identifying new customers.
D) rapid population increases.
E) the failure of micromarketing as a workable strategy.

Question

Quizplus · Accepted Answer

Loyalty segmentation aims to identify and target customers who have already shown loyalty towards a brand or product. Acquiring new customers can be expensive, as it often involves advertising, promotions, and other marketing efforts. By focusing on retaining and cultivating existing loyal customers, companies can reduce their customer acquisition costs and increase their overall profitability.

One of the Reasons Marketers Use Loyalty Segmentation Is