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variable cost economic

variable cost economic

To get success in online marketing. have to shine separately than other marketers. To get people the best impression on your brand name has to give a good product, good service, and good response to customers. The current retail environment is now “a variable cost economic world which allows radical brands to complete reach without scale.” Rather of the scale, it’s now more about reaching customer expectations.

The basic economics of online marketing is simple. First, need to determine the advertising efficiency need to achieve your profitability goals? The organizations need to study and as well as to speed in their business. 75% of retailers that their model needs necessary change if they are to keep up with the industry’s growth.

Retailers would like to sell products directly from their shops. they are looking for a quick process of apple pay and Paypal. Customers should see local money, checkout experience that continues the local branding and pricing options. Delivery should be fast, returns easy, customer service efficient, and the brand experience consistent across in touchpoints. The retailer’s new rules are, focus on customer service. Based on the retailer’s sale, they must support their products in a healthy lifestyle.

Based on the company economy depends on the variable and fixed cost. The variable cost depends on company goods and service produce. When production capacity goes up, the variable costs will increase. On the other hand, if the volume goes down, so too will the variable costs. Fixed costs won’t depend on the company producing volume. Suppose if the shop has to pay a fixed cost of £2,000 per month. The shop sales are not increased or the work doesn’t do in this month, but still have to pay the £2,000. If the company volume or production increases, the company got £200,000 of profit, still the shop needs to pay £2,000 per month. The fixed cost won’t change.

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