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Increasing Customer Lifetime Value through Internet tactics Model - Dillerop & Versteeg 2009

An exploration of the relationship between internet tactics, parameters in behaviour and the parameters determining growth in customer lifetime value. M. Dillerop MSc E.C. Versteeg MSc
by

Mark Dillerop

on 13 July 2011

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Transcript of Increasing Customer Lifetime Value through Internet tactics Model - Dillerop & Versteeg 2009

CLV growth, consumer behavior and tactics model Behavior Attitude Frequency Margin Customer Lifetime Value Growth Retention For growth in CLV it is important the customer shows behavior on Retention, Frequency and Margin Ensure the customer is a customer for a longer period of time Ensure the customer purchases more often in that period of time Ensure these purchases contribute to the margin So the customer needs to show certain behavior

This behavior is triggered by Attitude Let me explain the 3 main building blocks of this model After Sales Sales Marketing Tactics In order to trigger the right attitude at the customer the company is communicating and influencing the attitude via marketing, sales and after-sales tactics Input
Parameters Tactics Marketing Behavior Attitude Sales After Sales Social environmental norm Central Information Processing Periphiral Cognintion Value Affect Operant Conditioning Retention Frequency Margin Customer Lifetime Value Growth Copyright 2009 - Dillerop, Versteeg Feedback loop 5 parameters
influence attitude formation Periphiral Cognintion Value Affect Operant Conditioning Social environmental norm Central Information Processing So the right portfolio of Marketing, Sales and After Sales tactics need to be to picked to influence these 5 parameters positively And that brings us to the model Volantairy behavior triggered with a stimulus Volantairy behavior triggered with a stimulus
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