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Data Analytics for Marketing
book

Data Analytics for Marketing

by Guilherme Diaz-Bérrio
May 2024
Beginner to intermediate content levelBeginner to intermediate
452 pages
11h 32m
English
Packt Publishing
Content preview from Data Analytics for Marketing

8

Customer Lifetime Value with PyMC Marketing

Customer Lifetime Value (CLV) is a forward-looking approach that allows analysts to estimate the value and profitability of customers. CLV equals the net present value of the future cash flows from a customer. It is used to estimate the value of a customer over the entire relationship with a company. It is used for customer profitability, segmentation, targeting and retention strategies, customer divestment, promotions, advertising, and pricing campaigns.

In this chapter, we will cover the following topics:

  • The fundamentals of CLV and why analysts use them
  • What’s wrong with the CLV formula
  • Beyond the CLV formula
  • Implementing the BTYD model with PyMC Marketing

By the end of this chapter, you will ...

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Publisher Resources

ISBN: 9781803241609Supplemental Content