Customer lifetime values

Customer lifetime values
Customer lifetime values

Marketing today is more concerned with consumer retention than just customer acquisitions. This means keeping Customers for life.

An average UK car driver will buy more than 60000 pounds during 40 years of driving ,Cigarettes – the average ’20’ a day smoker will spend approximately £40000 during 40 years of smoking.Office computers- the average buyer replaces / updates the system and/or hardware every 3 to 5 years, say 10 times over 40 years which equals to 10 computer systems.These are the lifetime values. Profit on sales to existing customers are much higher than profits on sales to new customers [who require a lot of effort and expenditure]. So lifetime customers increases revenue and profits. And everyone has a part to play in developing long lasting relationships with lifetime customers.

Marketing is far too important to be left to only marketing department.

A customer focus has to go throughout the organisation.Marketing department should not be isolated department it should integrate with all other departments,it should integrate with all other departments,managers and staff members of all level.in reality this is a huge task,staff needs to be trained ,motivated ,involved and decently treated.

Happy employees=Happy customers, Happy customers = Happy shareholders, in fact get the balance right between these three stakeholders [employees,customers and shareholders] and the results will rocket.

Does our company involves all other department in marketing for gaining lifetime customers.

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