Question: Please solve it fast I need it Module: Customer Lifetime Value 1 2' Problem Set ID: IDES Cool Beans is a locally owned coffeeshop that

Please solve it fast I need it

Please solve it fast I need it Module: Customer
Module: Customer Lifetime Value 1 2' Problem Set ID: \"IDES Cool Beans is a locally owned coffeeshop that competes with two large coffee chains, PlanetEuro and Frothies. Alicia, the owner, is considering two different marketing promotions and thinks that CD4\" analysis will help her decide the best course of action. An average specialty coffee drink sells for $4.33 and has a margin of 59%. One promotion is providing loyalty cards to her regular customers that would giye them one free specialty coffee drink after 1|] regular purchases. Alicia estimates that this will increase the frequency bftheir purchases by 21%. Currently, her customers ayerage buying 2 specialty drinks per week. The second promotion is targeted at new customers. She would offer a free specialty drink to incoming college freshmen by proyiding a coupon with their orientation packages. Because of her location near the college, she expects that 380 students will come to ICool Beans for a free trial. [if those, she anticipates that 15% will become regular customers who will purchase at least one specialty drink each week. The cost of printing and distributing the coupons is 590. What would be the net incremental value in adding the loyalty program? - resmum m ans 1 a e w CALCULATED VARIABLES: cost = $15.53 data = $330 clyb = $314 margin = $3.02

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