How do you take an individual who has never done business with your
organization and gradually transform them into the best possible
customer? How do you decide how much to spend on various marketing
actions? How do you think about the pricing decision with a view to
optimizing the value of your customers as assets? Where do you start,
what tools do you use, and what heuristics are useful in making these
decisions? This book attempts to answer questions such as these. The
one-sentence summary of the answer, though, is simple - hold the
individual's hands and walk them up a value ladder, one step at a time.
This book is written for an advanced student of business and the
practicing manager. It presents an integrated view of the marketing
function. In particular, it focuses on all the activities that a firm
engages in to create and manage value - not just the customer-facing
activities. It links the traditional views of customer value with the
finance, accounting, human resources, organizational behaviour,
information technology and operations functions of the organization. It
draws on the science of behaviour change and the data sciences to
present a contemporary view of the customer value function. The content
is meant to be prescriptive - it describes a process for value creation
and management, yet analytical; theoretical, yet empirically driven. It
urges the reader to think about the customer value function to be
organized along activities that the firm would like the customers to
engage in, not activities that the firm engages in. It presents a
framework that is not only conceptually driven but also has a sound
mathematical basis.
