Which Metric Is Based on the Relationship Between the Revenue

question 48

Multiple Choice

Which metric is based on the relationship between the revenue produced by a specific customer, the expenses incurred in acquiring and servicing that customer, and the expected life of the relationship between the customer and the company?

• A) Churn rate
• B) CLTV
• C) Cost per lead
• D) Cost per sale
• E) CRM rate

---

Definitions:

Small Businesses

Small businesses are independently owned and operated companies that are limited in size and revenue, depending on the industry.

Personal Communication

Direct interaction between individuals, allowing for the exchange of information or ideas.

Prospective Customer

An individual or organization that could potentially purchase a product or service but has not yet done so.

Needs

Basic or necessary desires or requirements essential for an individual's well-being or the effective functioning of a system.