Segmenting Customers into 4 Categories (Butterflies, True Friends, Strangers, and Barnacles)

question 110

Essay

Segmenting customers into 4 categories (butterflies, true friends, strangers, and barnacles) essentially evaluates customers on which two dimensions?
profitability and revenue
revenue and customer loyalty
profitability and customer loyalty
revenue and communications costs
profit and communications costs

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Definitions:

Investment Account

An account held at a financial institution that holds investments such as stocks, bonds, mutual funds, and other assets for the investor.

Subsidiary

A company controlled by another company, often referred to as its parent company, through ownership of more than half of its voting stock.

Initial Value Method

An accounting approach where an investment is recorded initially at cost, without adjusting for changes in market value over time.

Investment Account

A financial account that holds securities, stocks, bonds, and other investments for the benefit of an investor.