Question

Can I get an explanation of how these were solved? Where did the numbers come from

1.) What is the customer acquisition cost to Maru Batting Center for the following customers?
a) A Little Leaguer: Y1,040
b) A Summer Slugger: Y1,007
c) An Elite Ballplayer if MBC places the a

Answer 1

Customer Acquisition Cost (CAC) is calculated by dividing total acquisition expenses by the number of acquired customers for each segment. Maru Batting Center would have determined these costs like Y1,040 for a Little Leaguer and Y1,007 for a Summer Slugger by analyzing their expense data and customer counts for each group.

Step-by-step explanation:

The Customer Acquisition Cost (CAC) is a metric used by businesses to assess the total cost of acquiring a new customer. In the context of the Maru Batting Center (MBC), the CAC could be calculated by taking the total marketing and advertising expenses related to attracting each type of customer and dividing it by the number of customers acquired of each type.

In order to solve for the CAC for different customer segments such as a Little Leaguer or a Summer Slugger, MBC would perform this calculation:

1. Determine all the expenses related directly to acquiring a new customer, including marketing and advertising costs, special offers, and employee commissions.
2. Identify how many customers were acquired that fall into the specific category (Little Leaguer, Summer Slugger, Elite Ballplayer).
3. Divide the total expenses from step 1 by the number of customers from step 2 to find the CAC.

The values like Y1,040 for a Little Leaguer and Y1,007 for a Summer Slugger represent the CAC for each segment after performing this calculation based on the marketing expenses and the number of customers acquired for each segment.