T need to understand the relationships among customer metrics and profitability has never been more critical. These relationships are pivotal to tracking and justifying firms’ marketing expenditures, which have come under increasing pressure. The objective of this paper is to integrate existing knowledge and research about the impact of customer metrics on firms’ financial performance. We inves...

Three-parameter lognormal distribution has been demonstrated for applications in electromigration data analysis, especially for Cu interconnect structures with insufficient redundancy. Examples are given on estimating parameter values from experimental data using the maximum likelihood method. Detailed analyses are presented on confidence bound estimations of the parameters and their propagatio...

Customer lifetime value (LTV, see e.g. Bauer et al. 2005 and Rosset et al. 2003), which measures the profit generating potential, or value, of a customer, is increasingly being considered a touchstone for administering the CRM (Customer relationship management) process. This in order to provide attractive benefits and retain high-value customers, while maximizing profits from a business standpo...

Latent attrition models serve as the foundation for analyzing transactional customer relationships to derive forecasts of customer behavior and value. Yet, extant models often overlook the effects of direct marketing and how it is individually targeted. We propose a parsimonious model that allows for direct marketing to impact the frequency with which transactions occur, the monetary amount of ...

This paper aims to explore the applicability of the RFM (Recentness,Frequency,Monetary) model in the customer segmentation of auto services companies, for which it obtains the weight of each index through the method of analytic hierarchy process (AHP) and segments the customers with K-means clustering method. This paper divides customers into several segments by comparing customer lifetime valu...