Managing Customers Profitably
This book is a response to a need in the market place in the fast-growing field of customer profitability analysis and the profitable management of customer relationships. It combines innovative approaches to calculating the value of customers, with the management strategies necessary to make and keep customers profitable.
It includes easy-to-follow instructions on how to calculate customer profitability, including worked examples (non-technical) and discusses strategies and their applications for organizations to manage customers profitably. Based on cases and feedback from the KAM Club and other research, there will be many business-to-business as well as business-to-consumer examples.
The book assumes some level of numeracy in its readership.
The contents include:
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2 Customer profitability analysis
3 Calculating customer profitability
4 How to calculate customer profitability for large customer numbers
5 Customer lifetime value
6 Calculating customer lifetime value
7 Calculating and using customer equity
10 The customer portfolio using both supplier and customer perspectives
12 Servicebased segmentation
Section Three The strategic decisions that maximize the value of your customers
13 Selective customer acquisition and retention
14 The role of pricing in creating or destroying value
15 Increasing customer equity using value propositions