A financial result associated with a small increase in customer retention is a
A) a comparable increase in profits.
B) a substantial increase in profits.
C) almost no increase in profits.
D) a slight decrease in profits.

Question

Quizplus · Accepted Answer

A small increase in customer retention can lead to a substantial increase in profits due to the long-term relationships and repeat business from loyal customers. Additionally, retaining customers costs less than acquiring new ones, so the increase in profits is even more significant.

A Financial Result Associated with a Small Increase in Customer