Ask breakeven point.

Seyond the customer acquisition and advertising costs, Alpen Bank needed to invest in an in ntry infrastructure support, and incremental fixed overhead costs were substantial. Cost Iciated with new staff, computer systems, customer support, and other overhead costs wer: nated at 5 million annually to support the rst 50,000 customers. For every additional 50,001 :omers, Carle would need to spend 750,000 per year for overhead. The direct variable cost Iciated with each cardholder included billing, loyalty program administration, collections, fraud loan default and were estimated at 20 per customer. With every additional 50,000 customers 10111185 of scale would reduce the direct costs by 2.50 per card