What Are Airlines Trying to Achieve When They Use Frequent

question 99

Multiple Choice

What are airlines trying to achieve when they use frequent flyer programs, which give customers points that can be redeemed for free travel, rental cars, and other merchandise?

• A) to get consumers to try their product
• B) to create product awareness
• C) to provide information
• D) to increase the amount and frequency of use

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Definitions:

Sales Response Function

A model that predicts the sales or market share response of a product or service to marketing effort or investment.

Contribution Margin

The amount by which sales revenue exceeds variable costs. It is used to cover fixed costs and generate profit.

Positive Deviation

An instance where performance or results exceed the expected standards or averages, often interpreted as an improvement or success.

SWOT Analysis

A strategic planning technique used to identify an organization's Strengths, Weaknesses, Opportunities, and Threats.