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    Question

    Which factor most directly reduces customer acquisition

    cost?
    A Increasing advertising budget Correct Answer Incorrect Answer
    B Improving referral programs Correct Answer Incorrect Answer
    C Reducing service quality Correct Answer Incorrect Answer
    D Expanding branch infrastructure Correct Answer Incorrect Answer
    E Raising interest rates Correct Answer Incorrect Answer

    Solution

    Referral programs use existing customers to bring new ones, reducing marketing cost per acquisition. Why Other Options Are Incorrect тАв A: Increases cost. тАв C: Damages brand. тАв D: High capital cost. тАв E: May discourage customers. Banking Example: Refer-and-earn savings account campaigns.

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