12:Do you think maintaining customer loyalty should be more important to GBU than attracting new customers? Justify[6]
Posted: Thu Jan 15, 2026 10:43 am
This is Case Study :
GBU is a public limited company. It makes a range of beauty products including shampoo and soaps for the mass market. Last year GBU’s revenue fell. The Marketing Director has been looking at the results from its primary market research based on a sample of 2000 consumers. An extract is shown the Figure below. She believes maintaining customer loyalty is more important than attracting new customers.
This is Question:
12:Do you think maintaining customer loyalty should be more important to GBU than attracting new customers?
Justify your answer.[6]
Possible KN Points:
>Maintain market share / sales.
>Spread word / free advertising.
>Keep reputation.
>Able to match products to existing customer needs.
New customers:
>Widen target market.
>Customer tastes change.
>Need to carry out advertising to attract customers.
Other factors:
>May be other reasons why customers do not buy.
GBU is a public limited company. It makes a range of beauty products including shampoo and soaps for the mass market. Last year GBU’s revenue fell. The Marketing Director has been looking at the results from its primary market research based on a sample of 2000 consumers. An extract is shown the Figure below. She believes maintaining customer loyalty is more important than attracting new customers.
- Screenshot (122).png (109.81 KiB) Viewed 29 times
12:Do you think maintaining customer loyalty should be more important to GBU than attracting new customers?
Justify your answer.[6]
Possible KN Points:
>Maintain market share / sales.
>Spread word / free advertising.
>Keep reputation.
>Able to match products to existing customer needs.
New customers:
>Widen target market.
>Customer tastes change.
>Need to carry out advertising to attract customers.
Other factors:
>May be other reasons why customers do not buy.