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Glossary

Customer Value

Not all customers of a company are profitable. For some an intensive support is worth it, for others not. The value of the customer should be determined in order to distribute the costs of care on the right and profitable customers and in the long run to optimize profit. To evaluate this customer value, diverse methods can be implemented, e.g. ABC-Customer Analysis, sales and margin figures would be analyzed, or the Customer Lifetime Value, where the focus is on the capital value.

ABC Customer Analysis, Customer Lifetime Value

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