Understand the future value of your customers better
Customer and marketing strategies are built around the behaviours of customers. Typically, this is past value – why – because it is believed this is an indicator of future value. High value customers are targeted for campaigns and high frequency customers for loyalty programmes.
However, what if previous value is not a good indicator of the future? What if the customer has just had a negative experience or the product they have loyally bought for years is no longer stocked?
Lifetime Value gives a far more accurate view of how customers are likely to behave in the future.
A good Lifetime Value metric helps you answer...
LTV models can be notoriously complex and difficult to solve. Our Customer Value Predictor uses data science techniques to identify the key drivers of Value specific to your business and customers. We will work with key stakeholders to make sure the definitions of revenue and cost are fit for purpose.
The resulting LTV metric can then either be built in your data environment or we can provide the metric through a fully interactive customer dashboard hosted by us reducing the need for systems development.