SlideShare a Scribd company logo
A profitable customer:
Who yields a lifetime revenue
stream exceeding the amount
spent on attracting, selling
and serving
Customers
Products
Customer-Product Profitability Analysis
Activity-Based Costing
ABC cost estimation
Making Customer Support
Travel cost Gifts
Measuring Customer Lifetime Value
“...the net present value of the stream of future
profits expected over the customer’s lifetime
purchases.”
•Make Profitable Customer
•Do Customer/Product Profitability Analysis
•Activity-Based Cost Estimation
•Measure Customer Lifetime Value
Created by Jay Shivani, ISM Dhanbad,
during an internship by Prof. Sameer
Mathur, IIM Lucknow.
www.IIMInternship.com

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What is the lifetime value of customers, and how can marketers maximize it