BUISENESS MANAGEMENT
MARKETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Acquisition costs are written off over a long period
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The cost of finding new customers are minimised
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They will refer new customers to you
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You are aware of their buying habits
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Detailed explanation-1: -Customer retention is critical because the cost of acquiring new customers is much higher than retaining existing customers. Retained customers are also more likely to engage in word-of-mouth marketing or become brand ambassadors.
Detailed explanation-2: -There are four steps to effective customer retention: segmentation, service, systems and selling.
Detailed explanation-3: -The main findings contain that the most common factors that affect customer retention are service quality, satisfaction, trust, and commitment.
Detailed explanation-4: -Benefits of customer acquisition First, bringing in new customers essentially leads to generating more revenue, which can help increase your business’s profitability. Second, successful customer acquisition can offset marketing costs through increasing revenue.