session 8 - CLV in non-contractual settings

CAC stands for

• Cost of Acquiring Crayons

• Customer Acquisition Cost

• Customer-Adjusted Calculation

• Customer Attrition and Churn

CLSV accounts for

• The added value stemming from the customer's network

• The value of the substitutes that a customer may purchase with competitors

• The weather

• The serenity and peace of mind a manager encounters in the face of low CAC

A firm should aim at _____________ CRV

• low

• high

• volatile

• homogeneous

Share of wallet =

• Market Share

• Total spending

Which of the following strategies best suits a customer with high CLV and high SW?

• Hold on, invest & grow

• Develop and target for additional sales

• Selective development

• Maintain and guard

Which of the following is the most desirable segment?

• low CLV, small SW

• high CLV, small SW

• low CLV, large SW

• high CLV, large SW

RFM stands for

• a radio station

• Restructured Firm Management

• Recursive Firm Management

• Recency, frequency, and monetary value

Which of the following matters most within the RFM framework?

• recency

• frequency

• monetary value

• weather

What are the two common approaches to predicting churn

• Probability model & Regression-type

• Astrology & Guessing

• Voodoo & Machine Learning

• Probability model & Leveraging of Network Synergies