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Dictionary by pitch.dog
Competition, differentiation & moats · Core

Switching cost

Also called: cost to switch

ELI5

What a customer loses or must spend when changing.

Used in conversation

“High switching cost improves retention but can create resentment.”

Definition

The financial, operational, technical, learning or emotional cost of changing providers.

Here “Switching cost” means: The financial, operational, technical, learning or emotional cost of changing providers.

Pitch context

You will see “Switching cost” in strategy decks, market analyses, business plans and planning workshops when the discussion reaches competition, differentiation & moats.

Why it matters: It helps a reader interpret competition, differentiation & moats without confusing the measure, decision, role or evidence being discussed.

When the words have to travel

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Sources & evidence · 5

Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.