The overlooked and misunderstood: customer-centricity and customer lifetime value

Find your future best customers

Do you have an understanding of your customers’ CLV?

“A business is only as valuable as the future cash flows of all the customers”

Customer-centricity does not mean that every customer is important

It’s a marathon, not a sprint

Five ways to bring CLV into your toolkit right now

  1. Customers are not equal. Businesses should be optimized based on customers with the highest customer lifetime value (CLV).
  2. Customer lifetime value is an estimate of the customer’s present value to the company, thus including all the historic and future costs and profits attributed to the customer.
  3. There are very few future best customers compared to less profitable ones
  4. Companies need broad customer acquisition to fund the more expensive targeted acquisition that aims to find customers with high CLV
  5. Customer acquisition is a marathon. It might take a while for customer relationships to turn profitable.

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