Posted in Marketing and Strategy Terms, Total Reads: 546
Definition: Cost Efficiency
The goal of every organization is to minimize the expenses incurred in advertising campaign developed in order to increase the awareness & do publicity of their product. The advertising campaign is aimed at maximizing the number of exposures at minimum cost to all the target audience. It is desirable for all firms to maximize their cost efficiency in order to achieve greatest product exposure for the least amount of money invested.
The firm can retain competitiveness by regular cost optimization & ensure continuous growth & innovation. Continuous control implementation is also a key success factor in projects for increasing the overall efficiency.
We can say that cost effectiveness is the extent to which you have achieved the required result at the lowest cost in comparison to any other alternative.