Question: Hello, I need help understanding the following: Hello, I need help solving problems on an excel sheet and answering the following questions: What is the
Hello, I need help understanding the following:
Hello,
I need help solving problems on an excel sheet and answering the following questions:
What is the value of a loyal customer (VLC) if the customer retention rate is 20 percent? Round your answer to the nearest cent.
$ fill in the blank 2 20 2. What is the value of a loyal customer (VLC) if the customer retention rate increases to 80 percent? Round your answer to the nearest cent.
$ fill in the blank 3 3. What is a 1 percent change in market share worth to the manufacturer if it represents 50,000 customers? Round your answers to the nearest dollar.
20 percent customer retention rate case: $ fill in the blank 4 80 percent customer retention rate case: $ fill in the blank 5 4. What do you conclude?
If customer retention can be increased from 20 to 80 percent through better value chain performance, the economic payoff is
Thank you.
Chapter 02 Excel Activity: VLC Question 1 4/10 Submit Open spreadsheet Questions 1. What is the value of a loyal customer (VLC) if the customer retention rate is 20 percent? Round your answer to the nearest cent. $ 12.5 g 2. What is the value of a loyal customer (VLC) if the customer retention rate increases to 80 percent? Round your answer to the nearest cent. $ 800 3. What is a 1 percent change in market share worth to the manufacturer if it represents 50,000 customers? Round your answers to the nearest dollar 20 percent customer retention rate case: $ 62500 X 80 percent customer retention rate case: $ 625000 4. What do you conclude? If customer retention can be increased from 20 to 80 percent through better value chain performance, the economic payoff is quadrupled Check My Work Reset Problem Excel template - Saved Search (Option + Q) File Home Insert Draw Page Layout Formulas Data Review View Arial V10 B v v Av ale F10 X fx A B D E Value of a Loyal Customer NMOON COOO 1 2 3 4 5 6 Revenue per unit Percent contribution margin to profit and overhead Repurchase frequency (purchases/year) Customer retention rate Number of customers representing 1 percent market share $100.00 40% 0.25 0.2 50,000 Buyer's life cycle Formulas #N/A 5.00 $12.50 VLC Value of a 1 percent change in market share =100*0.4*0.25*1.25 #N/A 9 10 11 12 13 14 15 16 17 18 19 20 Customer retention rate 0.8 Buyer's life cycle 1.25 #N/A VLC Value of a 1 percent change in market share #N/A #N/A
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