Problem/Benefit

Executives have difficulty in deciding how to apportion their marketing budgets between acquisition and retention and across business lines.  The MCSA software builds on the two previous tools by optimizing the budget across three business lines for purposes of cross-selling. 

Inputs

Using historical data, the MCSA software requires inputs about acquisition and retention for each business line in the following areas:

• Number of prospects/customers in a period
• Number of prospects converted to customers/customers retained
• Profit margin on transaction
• Acquisition/retention cost
• Discount rate (cost of capital)
• Ceiling acquisition/retention rate
• Baseline rate of cross-sell for each business line to another line
• Current rate of cross-sell for each business line to another line
• Current expense cross-sell for each business line
• Ceiling rate for cross-sell for each business line