Create Value for Customers

Abstract:  Determining the marketing strategy is crucial in the process of running a company. The concept of customer value has become increasingly used in marketing strategy and literature in recent years. Understanding customer needs and wants is very important in designing an effective market strategy. Strategists must consider the complexity of factors when evaluating and selecting marketing strategies. The result of this article is that one of the indicators of customer profitability is customer lifetime value (CLV), which is a discount on net income that is obtained as long as consumers subscribe. The more loyal the customer, the longer the subscription period (customer lifetime), the more likely they are to upgrade buying and cross-buying, and the more they accept price increases so as to provide greater profits for the company. Consumer equity (customer equity) total CLV of all customers owned by the company.