Question
PLEASE SHOW ALL OF YOUR WORK CLEARLY, STEP-BY-STEP! 1. The manager of Moxa, a local coffee shop, is interested in bringing in more customers so
PLEASE SHOW ALL OF YOUR WORK CLEARLY, STEP-BY-STEP!
1. The manager of Moxa, a local coffee shop, is interested in bringing in more customers so he hired an YU student to hand out fliers on campus to try to reach the student body. The owner of the shop wanted to know how much it would cost to bring each new customer into the shop before she signed off on the plan. Using the information below, please calculate the customer acquisition cost for Moxa (the cost to acquire each customer)
Cost for fliers= $.25 / unit
Cost for student to hand out fliers = $1000 for entire campaign
Number of students who will be given a flier = 25,000
Based on information provided by the manager of Subway, the restaurant next door, the Moxa manager determined that 80% of the students who received a flier throw it in the trash. Of those who actually kept it, 1/4 read it. And of those students who kept and read the flier, 10% actually stopped by the shop and purchased a beverage.
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