Final answer:
False. Finding a new customer is typically more expensive than keeping an existing one.
Step-by-step explanation:
False. Finding a new customer is typically more expensive than keeping an existing one.
Businesses need to invest in marketing and advertising to attract new customers, which can be costly. On the other hand, maintaining a relationship with existing customers through good customer service and offering loyalty programs can help retain them at a lower cost.
For example, businesses may spend money on advertising campaigns, offering discounts, or providing excellent customer support to attract new customers. However, they can build long-term relationships with existing customers by providing value, consistent quality, and personalized experiences. This can lead to customer loyalty, repeat purchases, and positive word-of-mouth referrals.