Beyond Marketing
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Beyond Marketing
Problematic, tools, news, in marketing and beyond to develop ecosystemic vision; are included Inbound Marketing, Content Marketing, Social Media...
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The strategic importance of measuring Customer Lifetime Value

The strategic importance of measuring Customer Lifetime Value | Beyond Marketing | Scoop.it

I’ve often referred to Customer Lifetime Value (CLV or LTV) as the loneliest CRM key performance indicator, which is particularly troublesome as this metric is forward looking, identifies both the degree of customer-centricity along with customer upside potential, and can be a catalyst for spurring increases in customer share, customer retention, margin improvement and top line revenues.

Denis Failly's insight:

Customer Lifetime Value = Profit ($) * Retention (%) / (1 + Discount (%) – Retention (%))

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How Marketers Can Make a Smooth Transition to Customer Lifecycle Approach | Right On Interactive

How Marketers Can Make a Smooth Transition to Customer Lifecycle Approach | Right On Interactive | Beyond Marketing | Scoop.it

"Forrester Research estimates that almost half of all B2B marketers close fewer than 4 percent of marketing generated leads. The bulk of the sales now come from sources such as referrals, upsells and repeats, which are outside the conventional funnel. The focus of new-age marketers is therefore customer lifecycle marketing, or engaging the prospect throughout the marketing lifecycle rather than placing leads in a funnel and passing them on to sales..."

 

 

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What is the Lifetime Value of a Customer to You?

What is the Lifetime Value of a Customer to You? | Beyond Marketing | Scoop.it

...about how to create value for the services we offer and effectively communicate that to our clients. So much of what we do is behind the scenes and often that gets lost in translation. There was one thing that he said that really struck a chord with me and that was that before you can determine how much a client needs to invest in online marketing they must first determine what the lifetime value of a customeris to them. Online marketing is an investment. How do you determine that value and how much should you invest back to continue to grow?

 

 

Denis Failly's insight:

LTV : the amount of an average sale x the number of sales per year x the number of years that customer typically remains a customer.

 
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