Relative Value: A Better Way to Rank Profitable Customers
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Date: Thursday, February 23, 2012
Time: 2:00 p.m. New York / 7:00 p.m. London

Customer lifetime value (LTV) – what a customer is worth to a company over the duration of the relationship – has been a popular marketing principle for years. But as widely discussed as it's been, LTV remains a thorny challenge and point of confusion for many enterprises.

But some concepts underpinning the LTV model are easy to understand, and, perhaps more importantly, an organization can use them to improve business outcomes while driving a deeper understanding of what elements of the LTV concept are most important to a specific business. Join as Jim Novo, a leading customer retention, defection, and loyalty expert, explores the main components of customer value and how they relate to LTV.

You'll learn how to:

  • Use relative value to forecast directional changes to LTV
  • Take action using relative value and lifecycle mapping
  • Set up a framework for using relative value to make better business decisions

Jim Novo is customer retention, defection, and loyalty expert with more than 25 years of experience generating exceptional returns on customer marketing program investments. His professional career has been focused on introducing profit-driven customer retention marketing to new industries. In the 80s, cable television was the target, where Jim pioneered the idea of measuring a direct connection between the initial customer experience and the long-term value of a customer. In the 90s, Jim revolutionized the TV shopping business by focusing resources on the customer instead of only on the products.

Since starting his own consultancy in 1997, the Internet has been squarely in Jim’s sights. In 2000, he authored the book, Drilling Down: Turning Customer Data into Profits with a Spreadsheet (now in its 3rd edition) to teach managers his techniques for increasing profits while lowering marketing costs. Jim is an MBA graduate of Babson College, a school known for a focus on entrepreneurial activity. He majored in economics and psychology as an undergraduate at Dartmouth College. He assists the Web Analytics Association (WAA) as manager of education, serving as the lead instructor on development of the WAA's four-course series teaching students how to measure and manage online marketing.

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