An important use of customer lifetime value data is:
A)as a replacement for market segmentation.
B)to determine the allocation of marketing resources to marketing programs.
C)to decrease the need for targeting specific customer groups.

Question

Quizplus · Accepted Answer

Customer lifetime value data helps companies determine which customers are most valuable and which marketing programs are most effective in retaining and acquiring customers. This information becomes crucial for companies to allocate their marketing resources effectively and efficiently, therefore, Choice B is the correct answer. Customer lifetime value data is not a replacement for market segmentation, nor does it decrease the need for targeting specific customer groups.

An Important Use of Customer Lifetime Value Data Is