A cell phone company spends $148.50 in total costs to acquire a new user. On average, this

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A cell phone company spends $148.50 in total costs to acquire a new user. On average, this new user spends $60 a month for calling and related services, and the cell phone company generates an 18 percent profit margin in each of the 25 months that the user is expected to stay with the service. What is the Customer Lifetime value of this user to the cell phone company?

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Principles of Marketing

ISBN: 978-0132390026

12th edition

Authors: Philip Kotler, Gary Armstrong

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