Measuring and managing customer profitability in the big-data era. How to capitalize on the opportunity.
In today's era of Big Data and related technology, the benefits of "customer-centricity" are within our reach. Analysis of Big Data sources helps to better understand customer needs, preferences, attitudes, expectations, sentiments, and buying behavior. Yet to achieve this potential, organizations need to understand and apply the classic but essential concepts of customer profitability, customer lifetime value (CLV), and customer value management analytics. Join us for an event on how to approach this challenge.
When linked with customer profitability metrics, these insights enable more profitable decisions in product design, sales, marketing, customer care, loyalty management, and risk management. This session will help attendees capitalize on this opportunity. We will cover the classic high-impact basics of measuring and managing customer profitability, customer lifetime value (CLV), as well as how to use new Big Data insights to get more value from these efforts. This tutorial which cover the topic in 5 practical steps:
1. Introduction to Customer Profitability Analytics: What is customer profitability analysis, why is it so valuable, and what are the key concepts and methodologies used to measure customer profitability, customer lifetime value (CLV), and related metrics?
2. High-Impact Use-Cases of Customer Profitability Analytics: What are the key ways customer profitability analytics is used enhance results? We will describe the highest-value ways to use customer profitability metrics to improve business results, with concrete examples in each of the following categories:
o Customer Lifetime Value optimization ("CLV")
o Customer loyalty and retention
o Share of wallet maximization
o Marketing ROI
o Impact of Customer Service, Customer Experience, and Customer Satisfaction on Profit
o Product design, pricing, promotion, and positioning
o Allocation of resources (capital, budget, HR, etc)
o Risk management
3. How to Calculate Profitability at the Customer Level : We will walk through the algorithms you need to use to turn raw data into customer profitability metrics, and share tips on how to customize them depending on your business. Related applications will also be covered, such as how to use the same algorithms to measure profit per household, salesperson, distributor, or other entity relevant to how your business makes money.
4. Data & Tech Requirements
5. Using Big Data to Maximize ROI on Customer Analytics: What are the top 5 opportunities to use Big Data to increase the benefits achieved through customer profitability analytics and related initiatives?
Speakers: Jaime Fitzgerald, Founder and Managing Partner, Fitzgerald Analytics, and Konrad Kopczynscki, Director at Fitzgerald Analytics. Konrad and Jaime have applied customer profitability methodologies to dozens of clients.