Modelling Customers Lifetime Value For Non-Contractual Business

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Published: Mar 1, 2021
DOI: https://doi.org/10.47738/ijiis.v4i1.77
Keywords:
CLV, CRM, Business, E-Commerce, Customer Transaction Prediction

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Riyanto Riyanto
Department Informatics, Universitas Amikom Purwokerto, Indonesia
Abdul Azis
Department Information Systems, Universitas Amikom Purwokerto, Indonesia

Abstract

Due to the increasing importance placed on customer equity in today's business environment, many companies are focusing on the notion of customer loyalty and profitability to increase market share. Building a successful Customer Relationship Management (CRM), a company starts from identifying true value and customer loyalty because customer value can provide basic information to spread more targeted and personalized marketing. In this paper, customer lifetime value (CLV) is used for customer segmentation in non-contracted businesses. The results obtained from this study are very acceptable. CLV has successfully analyzed and produced a fairly strong assumption about the value possessed by each customer whether they will make a return transaction or not.

Article Details

Issue
Vol. 4 No. 1: March 2021
Section
Articles

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