Please respond to all five (5) questions below: 1) What causes individual custom

Please respond to all five (5) questions below: 1) What causes individual customers to migrate in different directions and at different rates (see customer dynamics)? Discuss the related factors as per the notes and class material. 2) Discuss each of the following approaches & processes for managing customer dynamics. Please use a discussion format (do not copy and paste from the course material). i) Lifecycle approach ii) Dynamic segmentation approach iii) Acquisition, expansion, retention (AER) model iv) Lost customer approach 3) What are three (3) benefits of employing a CLV strategy? 4) MP#1 and MP#2? i) How does MP#1 relate to MP#2? ii) How can knowledge of MP#1 help with designing effective MP#2 strategies? 5. Use the below formula to calculate the CLV for the following: A manager of a cable company wants to determine if it is strategic to acquire the Brett family, by estimating their household-level CLV. The manager estimates that it will cost the company $80 (A)to get the Bretts’ to switch, and the Bretts’ will generate $150 profit each year (M), with a $30 annual marketing cost to retain them (C). The estimated retention rate (r) is 65%, and the current discount rate is 5%.(d) i) CLV= ii) Based on your calculation, are the Brett’s profitable to the cable company?
Requirements: 5 questions

Leave a comment

Your email address will not be published. Required fields are marked *