The bundle of costs customers expect to incur in evaluating,obtaining,using,and disposing of the given market offering is called the ________.
A) organizational expense ratio
B) shopper's fatigue
C) total customer cost
D) analysis paralysis
E) comparison shopping to comparison buying ratio

Question

Quizplus · Accepted Answer

Total customer cost refers to the full range of costs that a customer may incur when evaluating, obtaining, using, and disposing of a particular market offering. This includes monetary costs (e.g. purchase price, maintenance fees), time costs (e.g. searching, learning, maintenance), energy costs (e.g. physical and mental effort), and psychic costs (e.g. anxiety, regret). Understanding total customer cost is important for marketers, as customers may end up rejecting an offering not because of its price, but because of the other costs associated with it. A high total customer cost can also lead to customer dissatisfaction and negative word-of-mouth.

The Bundle of Costs Customers Expect to Incur in Evaluating,obtaining,using,and