Your uncle has been running a local catering business since 40 years. He started out very successful but continues to loose market share, and gets less profitable, as more and more catering services are offered online. During your latest family get together you asked him whether he ever did a cost of customer analysis. He just laughed at you and said 'you can get the cost of customers by first computing the cost of the products they buy and then multiplying by the number of unit each costumer buys'. Do you think this approach assists him in cost management? why? (Hypothetical scenario no data or additional information provided)

Your uncle is stubborn but so are you and you really want to convince him of the value of a cost of customer analysis. Can you provide him a convincing, even if basic, example? (Assume numbers and custumer-types.)