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Cost to Serve

The total cost of delivering a service to a customer.

Acme calculates the total cost to serve 1,000 customers is $100,000. Average Cost to Serve = $100,000 / 1,000 = $100 per customer.

Add up all costs associated with serving a customer, including support, service delivery, and account management costs. Divide by the number of customers to get the average cost to serve.

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