Home » Cost and Economics in Pricing Strategy » Your new company hasn’t done much to analyze customer lifetime value, but you are trying to convince your team that it is important. How would you explain the conclusions that can be drawn from these analyses?

Your new company hasn’t done much to analyze customer lifetime value, but you are trying to convince your team that it is important. How would you explain the conclusions that can be drawn from these analyses?

Customer lifetime values can connect marketing strategies to financial outcomes.

CLV analyses are particularly helpful in a rapidly changing marketplace.

It is easy to look far into the future with customer lifetime value calculations.

We don’t have to go very far back into our data in order to get purchase probabilities.

Connecting marketing strategies to financial outcomes can be very difficult to do, but CLV is very effective at determining the full financial impact of pricing decisions.

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