CUSTOMER PROFITABILITY ANALYSIS (CPA)

Below are the Steps Involve in the CPA, EXCEPT

• Customer Segmentation

• Revenue Attributable from Each Segment

• Use Revenue-Based Allocation method

• Review the Impact of Strategies

What is the Purpose of CPA?

• To predict Customer satisfaction levels

• Determine certain Customer are Costing money or Making money

• To evaluate performance of Employees

• To determine the total market size or potential

The last step in CPA is Review Impact of strategies

• True

• False

Below are the Characteristics under Demographic Segmentation, EXCEPT

• Geographic Area

• Income Level

• Customer Age

• Customer Values

Which are the Correct Strategies implemented to Profitable Customer Segment?

• Loyalty Program

• Rising the price

• Decrease the cost

• Doing Nothing

ABC Costing is used in Which Step?

• STEP 1

• STEP 2

• STEP 3

• STEP 4

One of the Disadvantage of CPA is Increase Customer Retention

• True

• False