Life Cycle (Customer) Cost

This term applies to the customer costs analyzed to develop new products and services. This is the cost of the product either to an Intermediary or Final Customer. The Intermediary Customer’s cost of obtaining, selling, guaranteeing and returning the product through the entire time the Intermediary Customer has possession of the product. (abbreviation: OSGR) The Final Customer’s cost of buying and employing the product through the product’s entire life cycle. These costs include the customer’s cost to acquire, use, maintain and dispose of the product. (abbreviation: AUMD)