How Much is That Customer in the Window?

Posted on March 5th, 2009 by Larry Chase

When shopping for new customers, know exactly how much you’re willing to pay for them. Sad to say, most firms looking to acquire new ones don’t know this most basic DM practice.
Without knowing lifetime customer value, you won’t know how much you can afford for new ones. BTW, all customers are not created equal. Some customers are worth more than others to you. You might consider getting rid of the ones worth less, in order to make room for the ones worth more. This is the “Feng Shui” approach to direct marketing. LC

The Internet Marketing Tip above originally appeared in Larry Chase's Web Digest For Marketers which you can subscribe to at no charge at www.wdfm.com.