What Is Customer Lifetime Value? Definition of Customer Lifetime Value, Customer Lifetime Value Meaning and Concept
The concept of customer lifetime value is the value that a customer has for a company based on the time and the transactions that can be carried out during that term .
There are clients who are very valuable to brands since throughout the relationship they maintain they can make numerous purchases, which obviously boosts the sales of these companies. Identifying this type of consumer is a fundamental objective for them and that determines the concept of customer lifetime value.
How to get valuable customers for companies
The study of some metrics and profiles can be carried out to help identify this type of consumer who is so valuable to companies. These are some keys to achieve it:
- There are studies whose research point is the customer in which they point out that 70% of shopping experiences depend on how customers feel treated during the process. If they feel treated optimally by brands, the possibility that they will be loyal to their products is much greater.
- Time is a metric used to measure the customer's relationship with the company, how profitable that consumer is.
- When the previous step is guessed, the next one is to know the profile of that type of clients that interest, assess an ideal client file that provides the maximum possible data.
- Knowing the customer's profile, the brand can anticipate their needs and offer products and services that are more in line with what they require.
- Solving your doubts at all times, showing yourself as a close brand is one of the options that must be carried out to ensure that the client stays and does not go to the competition.
- Taking care of the channels where they can communicate with the business is another aspect to maintain that optimal communication. Channels such as social networks, chat, email, telephone must be enabled to achieve these favorable results.
In summary, following this series of steps favors the achievement of clients who become the ideal profile to increase the company's sales.