Each Customer Segment Should Be Analyzed to Assess Cost to Serve

question 58

True/False

Each customer segment should be analyzed to assess cost to serve, to ensure that the price paid by customers is commensurate with the value they are receiving.

---

Definitions:

RRSP

A Registered Retirement Savings Plan, a tax-deferred retirement savings account available in Canada.

Annuity

A financial instrument designed to offer a steady flow of income to someone, mainly used for retirement purposes.

Quarterly

Pertaining to something that occurs every three months or four times a year.

Life Annuity

An insurance product that guarantees regular payments to the annuitant for life, in exchange for an initial investment.