Time represents a fundamental factor for the implementation of effective personalization activities and one of the most effective aspects to affect the increase of customer value, that is, their lifetime value.
But let’s take a step back, what do we mean by customer lifetime value ( CLV )?
- Customer Lifetime Value: What’s Behind Every Customer?
- Managing real-time interactions beyond CLV
- Customer Lifetime Value and Real-Time Interaction Management: The People-Bas Approach Wins
Customer Lifetime Value: What does it mean ?
Defin as one of the fundamental bahamas phone number data metrics in the field of e-commerce, the Customer Lifetime Value , it allows to know the value that a customer can generate over time , thanks to an estimation of their purchasing behavior.
It is precisely because the Customer Lifetime Value starts from a kind of estimation of purchasing behavior that there are several formulas and calculation models in the literature.
The simplest model is the following formula: Customer Lifetime Value = average value of a purchase * number of times the customer buys each year * average duration of the customer relationship (in years).
As can easily be guess from the formula, what contributes to the definition of Customer Lifetime Value, in this case, is above all the “historical” data relating to purchasing behaviors observ over time.
In this regard, it is interesting to note so having a strong social the approach propos by Rusty Warner, researcher and analyst at Forrester Research, according to which the Customer Lifetime Value must be overcome and rethought as a result of a continuous interaction between the brand and the customer where the value is built and amplifi through personaliz interaction methods , possible thanks to a deep knowlge of the customer and a real-time update of the profile.
Managing real-time interactions beyond customer lifetime value
Born from the approach propos by Rusty sms to data Warner, the Real-Time Interaction Management (RTIM) model, which, as its name suggests, makes real-time customer interactions, prictive modeling and machine learning the foundations on which to build personaliz and valuable customer experiences in an omnichannel perspective.
Formally defin as “ an enterprise marketing technology that delivers contextually relevant experiences, value, and utility at the right moment in the customer lifecycle through preferr customer touchpoints,” real-time interaction management is bas on key aspects such as:
- user recognition from an omnichannel and cross-site perspective (read identity resolution );
- context , i.e. everything concerning the customer, from historical data to information collect in real time ;
- the experience , i.e. the analysis and business strategies that are essential to define the activities ne to engage the user in the next steps;
- orchestration , i.e. the activation of the different personalization activities
- in the most relevant touchpoints online and offline;
- optimization , reporting and information to improve and optimize different activities and improve performance.
It is easy to understand that in a Real-Time Interaction Management context, centraliz data collection and management play a crucial role. It is inde thanks to the possibility of having a unifi, up-to-date and real-time customer view that advanc profiling and segmentation activities are implement, first, and strategies aim at creating personaliz and valuable customer experiences, second.
Customer Lifetime Value and Real-Time Interaction Management: The People-Bas Approach Wins
People-center approach
Whether it’s calculating the value of a customer bas on more historical data or putting in place the best strategy to increase customer value at a specific point in time, it doesn’t matter: CLV and RTIM both emphasize the importance for companies to focus on the customer relationship as a critical success factor.
In this context, technology solutions such as Blendee’s Marketing Operating System provide the technology stack ne for truly people-bas marketing strategies .