Inquiry Response: Thoughts on Improving Customer Lifetime Value and Churn
We have a customer loyalty program, and we want to improve our customer lifetime value (CLV) and retention, and also move more customers toward using loyalty cards. What are some interesting techniques and frameworks that could aid our efforts?
THE BIG IDEAS:
- CLV and retention
- Persuadability modeling
- A simple framework
CUSTOMER LIFETIME VALUE AND RETENTION
With CLV, the retention rate (or churn) is critical because it is the denominator in the CLV calculation. If you aren’t already, generate