The past week and a half of class has focused on Customer Lifetime Value. We have emphasized the importance of building relationships with customers across their lifespan and not simply focusing on the sale.
Piggybacking off of past posts segmentation and the power of branding brings us full circle back to the importance of customer lifetime value analysis. It is important to build a relationship with a customer through strong branding and segmentation which ultimately increases the length of relationship time with customers.
Class discussions have emphasized the importance of identifying what type of customer you are dealing with. From this point you can then determine what type of relationship is necessary for the different types of individuals. Customization for various types of people is key in relationship building and ensuring that you are creating a long-term customer not just a single sale. Ultimately, what we've learned is that it is cheaper to retain customers and push them through the customer life-cycle, rather than put out costs acquiring new customers continuously. Just a short, but important lesson.
