S.Coleman, D.Walker, M. Rahman-Chowdhury, A. Ahlemeyer-Stubbe
in Applied Marketing Analytics, Henry Stuart Publications, Volume. 8, 1 pages 16–25, April 2022
Abstract:
In this age of abundant data, there are special opportunities for companies to measure the value of their customers. Such analytical action can help inform business and marketing decisions. This article gives an overview of what is meant by customer lifetime value and describes four approaches to calculating its value. We compare the pros and cons of each approach and show how engaging with the measurement activity can be beneficial for your business. Finally the article gives guidelines so that managers can decide which approach best fits their current situation.
Keywords: Data science, statistical models, marketing decisions, data scientist, predictive modelling, machine learning, small business, SME