Hello, If you answer my question I will be very happy.
Question:
WHY SHOULD A COMPANY BE CONCERNED ABOUT THE PROFITIBILITY OF ITS CUSTOMERS?
2007-11-28 00:36:52 · 5 answers · asked by destinys child 3 in Business & Finance ➔ Careers & Employment ➔ Marketing & Sales
The profitability of a customer impacts their suppliers in many ways.
It assures the supplier that they can pay for the products they purchase, in a timely manner.
As the customer grows, due to profitability, their need for products increases, providing more sales to the supplier.
The more successful the customer, the greater the opportunity for referring other customers to the supplier.
This is how long term, profitable relationships thrive.
2007-11-28 03:16:15 · answer #1 · answered by Chris Z 3 · 0⤊ 0⤋
Profitability of customers will affect their spending power and in effect, the earnings of the company. So more income for customers equals to more income to the company.
2007-11-28 08:47:28 · answer #2 · answered by Daisuke 6 · 0⤊ 0⤋
The profitability of ones customers will ultimately result in Higher volume purchases, Loyalty to your product or service, referral business
2007-11-28 08:44:49 · answer #3 · answered by Anonymous · 0⤊ 0⤋
I love test like these. I wouldn't work a company that made me take such a retarded test.
But, to answer your question, if your client is not profitable, then their sales from you will dwindle or dry up. It is pretty self explanatory.
2007-12-01 02:29:07 · answer #4 · answered by wcowell2000 6 · 0⤊ 0⤋
(Smirk). If the answer to that question is not obvious to you, you don't belong in sales management (or any OTHER management position, for that matter.)
2007-11-28 08:45:45 · answer #5 · answered by acermill 7 · 0⤊ 0⤋