About This Book
Purpose
This book addresses the problem of allocating marketing resources to, and estimating the financial value of different customer groups. For example, how much money can be spent to acquire a customer? What is the financial value of a database of customers (for the purpose of acquiring a firm or valuing the intangible assets of a firm)? How much money can be invested in individual customers? These questions are central to customer relationship management (CRM). This book introduces the reader to segmentation models for identifying groups of customers and different lifetime value models for estimating the future value of the segments. The reader will be exposed to a range of models and understand their strengths and weaknesses. ...
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