This technical note provides an important metric companies use to monitor customer relationships. The note begins with a discussion of how to calculate the firms and customers to track their activity, using the concept of novelty and retention. An important summary of the customer is the profit the firm receives from each customer. Just as some brands are more profitable than others, as some customer relationships more profitable than others. Client income metric that summarizes the past financial performance of the customer relationship. Companion note, "Customer Lifetime Value" (UVA-M-0800), are considered forward-looking metric that attempts to put a dollar value on relationships with customers. This technical note is an excerpt from a more comprehensive treatment of customer metrics found in the "customer profitability" (UVA-M-0718). "Hide
by Phillip E. Pfeifer, Paul W. Farris, Neil Bendle 9 pages. Publication date: April 20, 2011. Prod. #: UV5760-PDF-ENG
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