The lower the relevance of an issue, the lower the threat ...

[javeds]

The lower the relevance of an issue, the lower the threat intensity that is needed to activate a response.
 
 Indicate whether the statement is true or false

Question 2

Customer Lifetime Value is one of the most-discussed topics in marketing today. Explain what CLV means, the basic structure of a CLV calculation, and give one or more examples of how it can be used to improve marketing programs.

[Jossy]

Answer to Question 1

F

Answer to Question 2

The best short definition is probably the net present value of a future revenue stream, less the costs of serving the customer.

I try to get students to remember the basic structure from the text:

Net Customer Revenue
Cost of Goods Sold
Cost of Servicing
 Cost of Capital/Discount Rate
= CLV

The Safeway example or the Facebook calculations in the chapter will be the easiest unless you have gone over other specific examples. The Harrah's example is not very detailed, but good students may recognize the importance of customer value in deciding what services and incentives to offer to gambling customers.

[javeds]

Great answer, keep it coming

[bdobbins]

Thanks for the timely response, appreciate it