Customer lifetime value model
The Customer lifetime value model helps you to identify high-value customers and predict the value they would bring to your business in the future. With the help of the model, you may develop strategic customer segments based on the potential value of your clients and perform customized campaigns with focused sales, marketing, and customer service initiatives.
Moreover, you can identify the characteristics of high-value customers with the help of customer lifetime value model. This enables you to come up with better marketing and sales strategies by optimizing factors that increase the customer value.
You would need the following customer transaction history data to configure and run your customer lifetime value model:
- Transaction ID
- Transaction date
- Transaction amount.