A large department store segments its customers into 4 categories (butterflies, true friends, strangers, and barnacles)in order to evaluate customers on ________.
A)profitability and revenue
B)revenue and customer loyalty
C)profitability and customer loyalty
D)revenue and communications costs
E)profit and communications costs

Question

Quizplus · Accepted Answer

The segmentation of customers in this department store is done in order to evaluate customers on both profitability and customer loyalty. This segmentation helps identify which customers are the most profitable and which customers are the most loyal, allowing the store to tailor its marketing strategies accordingly. The other answer choices are not accurate because they do not reflect the main purpose of the customer segmentation.

A Large Department Store Segments Its Customers into 4 Categories