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CUSTOMER RELATIONSHIP MANAGEMENT CONCEPTS AND TECHNOLOGIES
Chapter 5
Customer Portfolio Management
Customer Portfolio definition
v A customer portfolio is the collection of mutually exclusive customer groups that comprise a business's entire customer base.Objectives of Customer Portfolio Management (CPM)
v CPM aims to optimise business performance - whether that means sales growth, enhanced customer profitability, or something else - across the entire customer base.
CUSTOMER RELATIONSHIP MANAGEMENT CONCEPTS AND TECHNOLOGIES
Chapter 5
Customer Portfolio Management
Customer Portfolio definition
v A customer portfolio is the collection of mutually exclusive customer groups that comprise a business’s entire customer base.
Objectives of Customer Portfolio Management (CPM)
v CPM aims to optimise business performance – whether that means sales growth, enhanced customer profitability, or something else - across the entire customer base.
v It does this by offering differentiated value propositions to different segments of customers.
How B2B customers differ from B2C customers
v Fewer in number
v Bigger in size
v Closer relationships with suppliers v Derived demand
v Professional buying
v Direct purchase
Basic disciplines for CPM
v market segmentation
v sales forecasting
v activity-based costing
v customer life-time value estimation v data-mining
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