Customer profitability management

Lawrence Ang, Ben Taylor

Research output: Chapter in Book/Report/Conference proceedingConference proceeding contributionpeer-review

Abstract

Many companies have invested in systems such as Enterprise Resource Planning (ERP) and Customer Relationship Management (CRM) with the aim of managing their customers better. But to do this well, a company must first understand customer profitability. This study proposes a customer portfolio method of achieving this. Using a database of 130,000 customers from an Internet Service Provider, this method demonstrates significant gains and returns on investments, by going beyond customer loyalty and instead advocates a proactive way of managing different customer groups based on their profitability.
Original languageEnglish
Title of host publicationANZMAC 2004
Subtitle of host publicationproceedings : marketing accountabilities and responsibilities
Place of PublicationWellington, New Zealand
PublisherANZMAC
Pages1-7
Number of pages7
ISBN (Print)0475222151
Publication statusPublished - 2004
EventAustralian and New Zealand Marketing Academy Conference (2004) - Wellington, New Zealand
Duration: 29 Nov 20041 Dec 2004

Conference

ConferenceAustralian and New Zealand Marketing Academy Conference (2004)
CityWellington, New Zealand
Period29/11/041/12/04

Keywords

  • customer profitability
  • customer portfolio analysis
  • relationship marketing
  • B2C

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