If customers become repeat customers they will help increase financial outcomes

Question

BlackTom AI · Accepted Answer

Consider the statement about repeat customers and financial outcomes as a whole rather than focusing on a single aspect of business performance.
Option 1: True. When customers return to purchase again, a business typically sees higher lifetime value (LTV) per customer, lower acquisition costs per sale, and opportunities for cross-selling or upselling. This pattern generally contributes to stronger revenue, steadier cash flow, and improved profitability over time.
Option 2: False. If customers became repeat customers, it would not inherently fail to improve financial outcomes; in fact, repeat business is a well-established driver of sustainable growth. The statement that repeat customers do not influence financial results overlooks the positive impact of customer loyalty on revenue stability and margins.
In summary, recognizing that repeat purchases amplify LTV, reduce marketing spend per sale, and support predictable revenues helps explain why the scenario described would tend to enhance financial outcomes rather than detract from them.

MCD2150 - T2 - 2025 Week 8 Workshop 1 Quiz

If customers become repeat customers they will help increase financial outcomes

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