Exhibit $3-$ What Customers Want and How to Give it to Them

Splashtown undertook independent market research to determine what their customers valued most from their time at the park. The results of the customer survey are as follows:

Importance

Quality of slides $20$

Short lines $60$

Experience or feeling $40$

Total $200$

Further research was done into the main components and their costs per customer, of the service that Splashtown provides:

Cost

Slide upgrades $$10$

Character experiences $$4$

Cleaning and maintenance staff $$3$

Total $$17$

The group was unsure how each of these cost components will change the customer experience but they think the ranges should be:

Customer Criteria

Quality of Slides Short Lines Experience

Slide Upgrades $30-50\%20-40\%10-40\%$

Character Experience $10-30\%30-50\%20-60\%$

Cleaning and Maintenance Staff $30-50\%20-50\%30-50\%$

$100\%100\%100\%$

Now that they have the data, management is unsure how to use it to optimize the customer experience relative to their costs. Use professional judgement in selecting any required inputs. State your assumptions and if applicable, why you think that input is a good fit based on case facts.

Optimize the customer experience relative to costs.