Predictive CLV Modeling
Description
Predictive Customer Lifetime Value (CLV) predicts the value a customer relationship will bring to an organization over the entire relationship. CLV is defined as the present value of future net cash flows associated with an individual customer's buying behavior.
We utilize the latest models from research literature to predict future CLV for each individual customer, allowing us to segment customers according to their predicted future value.
Applied in
• Non-contractual business models (B2C & B2B)
• Subscription business models (B2C & B2B)
Value
Revenue forecasting: Offers a forward looking estimate of a customer's total value, enabling accurate revenue forecasting.
Resource Optimization: Powerful tool to guide businesses in efficiently allocating resources towards acquiring and retaining high-value customers.
Tailored marketing: By understanding the potential value of different customer cohorts, businesses can design more personal marketing strategies.Implementation Process
