Customer Value and Value for Customer – Retail Sector’s Need for Transformation

Managing electronic commerce retail transaction costs for customer value

We investigate how electronic commerce (EC) retailers, or e-tailers, manage transaction costs and generate customer value. We integrate information systems and marketing theories in a framework for transaction cost management based on four contingency factors: channel, customer, product and shopping occasion characteristics. We build the framework using archival case studies and validate it wit...

Customer Acquisition Promotions and Customer Asset Value

In this article, the author addresses the question of how a firm’s acquisition efforts influence the composition of the customer portfolio. The first part of the research is a conceptual model that illustrates how customer uncertainty provides an explanation for why promotionally acquired customers have lower repurchase rates and smaller lifetime values. The second part of the research involves...

Measuring Customer Acquisition Value: A Comprehensive Approach to Customer Equity

In information technology era, databases are known asone of the most valuable resources for organizations, especially usedin database marketing. Customer Equity is a key concept in DatabaseMarketing which integrates customer acquisition, retention and development.From the perspective of customer equity, customers are theprimary source of both current and future cash-flows. Customer equitymodels...

Value-based customer grouping from large retail data sets

Customer Lifetime Network Value

Today, people are increasingly connected and extensively interact with each other using technology-enabled media. Hence, customers are more frequently exposed to social influence of other customers when making purchase decisions. However, established approaches for customer valuation most widely neglect network effects based on social influence leading to a misallocation of resources. Therefore...