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The Analytics Power Hour

#70: The Case for Customer Lifetime Value with Dr. Peter Fader

Aug 29, 2017
01:00:44
Snipd AI
Dr. Peter Fader, an expert in customer lifetime value, discusses the importance of prioritizing CLV in marketing strategies. They explore the shift towards customer centricity, choosing the right customers, and the value of customer behavior over demographics. The chapter also highlights the intersection of customer centricity and service design, the validity of CLV, and ends with interesting recommendations for listeners.
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Podcast summary created with Snipd AI

Quick takeaways

  • Customer centricity is about recognizing that some customers are more valuable than others and building products and services that cater to their needs.
  • Companies should prioritize efforts towards high-value customers while still addressing the needs of so-so customers.

Deep dives

Focus on the Right Customers for Strategic Advantage

Customer centricity is not about providing super customer service or putting the customer at the center of everything. It is about understanding that not all customers are created equal and placing disproportionate attention on the high-value customers. This approach involves recognizing that some customers are more valuable than others and building products and services that cater to their needs. It also means being mindful of the less valuable customers and finding cost-effective ways to keep them engaged. Ultimately, customer centricity is about strategically choosing the right customers and aligning business decisions around them.

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