QUESTION $14$

Refer to CLV Assignment Chart $1($in this week's Assignment Folder$)$ to answer the following questions. Assume that with your marketing plan it costs an average of $$15$ to acquire a customer for one year. Why might this be a problem?

$$15$ to get a customer to buy is relatively expensive.

It's not worth the expense to go after these customer groups.

You'll lose money selling to two of the customers.

There is no problem. Acquiring customers at any cost is almost always justifiable.