Your brother, Fred, owns ATZ Inc., a company that provides wireless telecommunications network in several cities in the Midwest region. You are taking a marketing class in college, and you asked Joe for some information about his business for a class project. You determined that one of his customers has a long customer history of 75, an above-average purchase amount of 55, a low repurchase desirability of 20, a weak product preference of 10, and the customer does not recommend ATZ services to potential customers. The customer is clearly dissatisfied, but since ATZ Inc. is the only wireless telecommunications network provider in the city he is compelled to use it.

Q1: Based on the values provided in the case above, determine the customer loyalty index. [For full credit, show your calculations]

Q2: Based on the customer loyalty index you just calculated for the customer, what type of customer would you tell Fred that he has (e.g., loyal, repeat, etc.)? Briefly explain why the response you selected is better than the other possible responses.