Marketing Reading: Customer Management

Format:Print
| Language:English

Abstract

This Reading on customer management sheds light on how companies should evaluate and manage their customers in order to grow profitably. Customer management allows marketing managers to inform investment decisions by drilling down into each customer's profitability or customer lifetime value (CLV). Historically, marketing managers have focused on providing value to customers, while largely ignoring the value they could get from customers. Realizing that customer lifetime value is a more important metric than simply increasing sales or market share, many companies are beginning to understand how the viability of their businesses is tightly linked to acquiring, retaining, and developing the right customers.