Customer Lifecycle Management and Marketing for a Service Business

Most of the customer life cycle includes elements that are focused on the interaction of the customers. The elements include.
  Reach:Attracting the attention of others whenever we would like to reach out for them    Retention: Making attempts at keeping customers and convincing them to purchase more, this can  be facilitated by up-selling and cross-selling

   Conversion: This is when people that we can get at, or have already has contact with, decide to            purchase something from us

    Acquisitions: Attracting and managing to bring people reached out to our business’s influence        sphere

    Loyalty: When we would like to get the trust of the customer and be long term trade partners

    Customer Lifetime Value (CL V)   
      

  This is financial metric for measuring the profitability of a customer, and if properly calculated, the    likely impact on the various marketing efforts across the customer’s life-cycle. This is a financial  value that can be contrasted to the return on Marketing Investment or Return on Investment. The  main purpose of the CLV is to create values across the Customer Life Cycle. CLV is basically a    present Value (in local currency) of the cash flows a business expects to get from a given customer  at  a given future date.

 There are two major challenges with the CLV:
  It happens from a global perspective and its value cannot be calculated on micro-levels like  marketing plans

 The CLV has origins in direct marketing oriented activities and is usually less useful for complex to    calculate customer investments

   The connected reality in customer life cycle:
  The whole cycle requires that the businessman understands their prospects and that of their    customers, and have an idea what happens to them all through the contact moments and touch points  between them and the your business. The customer life cycle itself does not change but the elements  do change, and there is great need to understand how and why the changes occur. Customers and  marketers have options and challenges; likewise, there is more challenge with measuring the  customer lifetime value. Customers are viewed as people in a connected perspective, and the overall  customer life cycle has several threads running across each of the stages. The cycle includes the  buying journey, sales cycle, and experience of customers, channels, content and the customer

 CRM and customer equity perspective:
  The CRM can be used in the calculation of CLV on both the global and micro level perspective,    however, it’s harder to use in the micro level. The customer equity perspective combines Return on  Investment approach as a parameter and the traditional way for calculating CLV. Customer life  cycle Important  in Every Service Business.Choose our Fieldomobify software.