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Returning customer is the best customer every business can have. These loyalty ones do not only shop regularly, but also have a recommendation to another’s.
lifetime customer value is a prediction of profit from individual custumers in future. Here comes in last months often mentioned costumer realtinship marketign which help us make a long term relationship with satisfied custumers.

Focusing on life time value of custumer in business means do not perceiving their purchase as 1dolar a month, but as a 12dolars a year and if you counting in years…That how basically is lifetime value of custumer counted, by how many times shopping, for how much and how long we can expect shopping will continue.
On market are already tools for measuring life time value of custumer, but lets look at some  advicies from business world.

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Advice number one in LVC is that all customers are not same in term of profit from individuals. There is always some amount of costumers active more then others.
And the active are these who really refer to others and are loyal to your business, on these you should focus first, by creating special offer, price, service etc. You can distinguish them from others by tracking amount of purchases or how many times the customers came back to shop again.

Nice examples are cars. Usually people purchasing around 7 cars in their lives, so brands making their best to make sure that the next car will be again from them and dealers too.They are preparing special price for car services, accessories and then for price of the next car customer going to purchase from them. Life time value marketing is essential part of whole car business.

 

 

 

http://www.marketingmo.com/4-support-tools/how-to-use-customer-lifetime-value/

http://www.pearanalytics.com/blog/2009/importance-of-lifetime-value-in-marketing/

http://www.entrepreneur.com/article/224117

http://www.dummies.com/how-to/content/strategic-planning-whats-the-lifetime-value-of-you.html

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