Comments on: Managing Customers as Investments: The Strategic Value of Customers in a Long Run http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/ Extraordinary Forex Blog Mon, 21 May 2012 19:25:42 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Rebecca Clement http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1529 Rebecca Clement Fri, 12 Mar 2010 07:26:24 +0000 http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1529 One of the first rules of business school is that it costs significantly less to keep a repeat customer than it does to acquire a new customer. Taking it further, there is an inherent "life-long" value that customers' buying patterns can have on your company. Say your average customer buys one widget from you a month generating $20 profit - if you assume that customer will buy every month (and that they also achieve an average life expectancy) that single customer will contribute nearly $13,000 in pure profit to your business. That's something to work for, which is why Soundview recommends this book by Sunil Gupta titled Managing Customers as Investments. The author clearly addresses the challenges of quantifying the cost and value proposition of customer attraction, while providing a slate of tools that help correlate customer retention with your firm's value and stakeholder wealth. Additionally, the writers take the time to provide real-world metrics that are intended to make your customer-centric efforts more meaningful for your consumers and more efficient for you. Rating: 4 / 5 One of a initial manners of commercial operation propagandize is which it costs significantly reduction to keep a repeat patron than it does to take a latest customer. Taking it further, there is an fundamental “life-long” worth which customers’ shopping patterns can have upon your company. Say your normal patron buys a singular widget from we a month generating $20 distinction – if we pretence which patron will buy each month (and which they additionally grasp an normal hold up expectancy) which singular patron will minister scarcely $13,000 in pristine distinction to your business. That’s something to work for, which is because Soundview recommends this book by Sunil Gupta patrician Managing Customers as Investments. The writer obviously addresses a hurdles of quantifying a price as well as worth tender of patron attraction, whilst on condition which a line-up of collection which help relate patron influence with your firm’s worth as well as stakeholder wealth. Additionally, a writers take a time to yield real-world metrics which have been dictated to have your customer-centric efforts some-more suggestive for your consumers as well as some-more fit for you.
Rating: 4 / 5

]]> By: Rolf Dobelli http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1528 Rolf Dobelli Fri, 12 Mar 2010 05:44:39 +0000 http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1528 How much are your customers worth? If financiers and investors had bothered to ask themselves this basic question, they might have prevented the Internet bubble and other expensive corporate mistakes. Such disasters can occur when people invest in businesses with no earnings and fanciful business models. Authors and professors Sunil Gupta and Donald Lehmann make a powerful case that executives should abandon outdated business-evaluation models based on traditional financial metrics, such as cash flows. Instead, they should rely on the present and future value of their businesses' customers: the "customer's lifetime value," or CLV. The authors discuss these issues in understandable language and buttress their arguments with formulas that will enable marketers to implement their ideas. They also provide helpful examples that are like mini business-school case studies. We highly recommend this book to all marketing executives, as well as to executives who are financially responsible for mergers and acquisitions, or advertising. This book could change the way you do business and increase your earnings from your best customers. Rating: 5 / 5 How most have been your commercial operation worth? If financiers as excellent as investors had worried to question themselves this simple question, they competence have prevented a Internet burble as excellent as alternative costly corporate mistakes. Such disasters can start when people deposit in businesses with no gain as excellent as illusory commercial operation models. Authors as excellent as professors Sunil Gupta as excellent as Donald Lehmann have a absolute box which management team should desert ancient-fashioned business-evaluation models formed upon normal monetary metrics, such as money flows. Instead, they should rest upon a benefaction as excellent as destiny worth of their businesses’ customers: a “customer’s lifetime value,” or CLV. The authors plead these issues in distinct denunciation as excellent as strut their arguments with formulas which will capacitate marketers to exercise their thoughts. They additionally yield beneficial examples which have been similar to mini business-school box studies. We rarely suggest this book to all selling executives, as excellent as to management team who have been financially obliged for mergers as excellent as acquisitions, or advertising. This book could shift a approach we do commercial operation as excellent as enlarge your gain from your most appropriate customers.
Rating: 5 / 5

]]> By: D. Goldstein http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1527 D. Goldstein Fri, 12 Mar 2010 04:10:28 +0000 http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1527 "Managing Customers..." does a wonderful job of providing a holistic approach to customer lifetime value (CLV). <br /> <br />Founded on the principle of viewing customers as assets, the book provides a super-efficient, highly-impactful read on transforming the CLV principle into actionable tactics in key aspects of business - fusing marketing, finance, and organizational structure into a well-aligned strategy for enabling a business to maximize the value it creates & derives from customers. Truly a must read for students of business. <br /> <br />On a side note - just wanted to express how impressed I have been with all of The Wharton School books that I have read to date - they are truly some of the finest business books available. <br /> <br />-Doug <br />www.mindofmarketing.net Rating: 5 / 5 “Managing Customers…” does a smashing pursuit of upon condition which a holistic proceed to patron lifetime worth (CLV).

Founded upon a element of observation commercial operation as assets, a book provides a super-efficient, highly-impactful review upon transforming a CLV element in to actionable plot in pass aspects of commercial operation – fusing marketing, finance, as well as organizational make up in to a well-aligned plot for enabling a commercial operation to show off a worth it makes & derives from customers. Truly a contingency review for students of business.

On a side note – only longed for to demonstrate how tender we have been with all of The Wharton School books which we have review to date – they have been indeed a small of a brilliant commercial operation books available.

-Doug

http://www.mindofmarketing.net
Rating: 5 / 5

]]> By: Mikko Marsio http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1526 Mikko Marsio Fri, 12 Mar 2010 03:56:32 +0000 http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1526 Book is centered around understanding customer life time value and what is the required mind set and strategy to drive customer life time value as a business driver. <br /> <br />Life time value model is very very interesting because of its simplicity yet usability - I plan to use it. However where the book is no delivering is its strategy angle. Customer strategy is too much simplified as how do you drive customer acquisition and retention with different programs highlighting the loyalty programs (and also setting some question marks on it). What the book does not address is the core mindset of customer driven business strategies: How companies should understand the business they are in from outside in view i.e. from customer side: what is the category we are in, what is the mindshare we have among our customers, how are we integrating our business and the offerings to our customers' businesses and lifes, what alternative business models we have to drive life time value. <br /> <br />But because the life time value is useful and the book as total is rather enjoyable to read I recommend this book Rating: 4 / 5 Book is centered around bargain patron hold up time worth as well as what is a compulsory thoughts set as well as devise to expostulate patron hold up time worth as a commercial operation driver.

Life time worth indication is really really engaging since of a morality nonetheless usability – you devise to operate it. But where a book is no delivering is a devise angle. Customer devise is as well most made simple as how do you expostulate patron merger as well as influence with opposite programs highlighting a faithfulness programs (and additionally environment a small subject outlines upon it). What a book does not residence is a core mindset of patron driven commercial operation strategies: How companies should assimilate a commercial operation they have been in from outward in perspective i.e. from patron side: what is a difficulty you have been in, what is a mindshare you have between a customers, how have been you integrating a commercial operation as well as a offerings to a customers’ businesses as well as lifes, what pick commercial operation models you have to expostulate hold up time value.

But since a hold up time worth is utilitarian as well as a book as sum is rsther than beguiling to review you suggest this book
Rating: 4 / 5

]]> By: AJ Spector http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1525 AJ Spector Fri, 12 Mar 2010 01:43:33 +0000 http://forexstund.com/managing-customers-as-investments-the-strategic-value-of-customers-in-the-long-run/#comment-1525 The substance of the information presented was genuinely useful knowledge. The first 2 or 3 chapters really give a good analysis of the value of a customer. The extensive examples that follow are merely verbose repetitions of the previously presented (and actually well supported) concepts. Sadly there is not a Harvard Business Review for this book, but there should be, to cut down on absorbtion time. Not a waste of money, but perhaps time. Rating: 3 / 5 The piece of a report presented was honestly utilitarian knowledge. The initial 2 or 3 chapters unequivocally give a fantastic research of a worth of a customer. The endless examples which follow have been merely prolix repetitions of a formerly presented (and essentially excellent supported) concepts. Sadly there is not a Harvard Business Review for this book, though there should be, to cut down upon absorbtion time. Not a rubbish of money, though maybe time.
Rating: 3 / 5

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