Capturing Value from the customer

Creating Customer Loyalty and Retention

Good customer relationship management creates customer delight. In turn, delighted customer remains loyal and talks favorably to other about the company and its products.

CUSTOMER LIFE TIME VALUE:

The value of the entire stream of purchase that the customer would make over of patronage

Growing share of customer

·         Share of customer;

The portion of the customer’s purchasing that a company gets in its products categories.

To increase share of customer, firm can offer greater verity to current customer. Or they can create programs to cross-sell and up sell in order to market more products and services to existing customer.

Building Customer Equity

Total combine customer lifetime values of all of the company’s customer.

Building Right Relation with the right customer.

The company can classify customers according to their potential profitability and mange its relationships with them accordingly to their potential profitability and manage its relationships with them accordingly.