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Module 3 Individual Homework

Module 3 Individual Homework

Q Instructions Scenario 3: Module 3 LusterLast®: Business Year 2019 At a board meeting Bernard Winfield, vice president of finance, inquired about the spending for acquiring customers. Thus, Ashanti has asked you to provide her with figures on the lifetime value of customers, the prospect lifetime value, average customer acquisition cost. The MIS department has provided you with the following data. In this scenario, the margin and contribution margin is considered to be the same. LusterLast® Unit Selling Price ($) Discount Rate (%) Acquisition Spending ($) Retention Rate (%) Variable Costs ($) 5.76 .01 1.15 .90 10 In Module 1 you began the construction of an Excel spreadsheet (or, workbook if you desire). And, as explained you will be building onto this spreadsheet as you journey through the modules. For this assignment, update your spreadsheet by providing the instructor with your updated spreadsheet which contains the information requested by Ashanti. Directly on the spreadsheet please provide some commentary about what you see developing through all the metrics you have calculated thus far. What is your rationale supporting your perspectives. This is only meant to be a brief and not a report.

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For the luster Last the retention rate is favorable for the company. The proportion of users who are still using an app after a certain number of days is referred to as the retention rate. It's determined by dividing the cumulative installs within a cohort by the number of unique users who initiate at least one session every day. Retention rates provide insight into how well the app performs over time and per user. In general, a higher retention rate is better since users who remain active for longer periods of time have more interaction and monetization opportunities. Customer lifetime value refers to a customer's cumulative value to a company over the duration of their partnership.