This book is a response to a need in the market place in the
fast-growing field of customer profitability analysis and the
profitable management of customer relationships. It combines
innovative approaches to calculating the value of customers, with
the management strategies necessary to make and keep customers
profitable.
It includes easy-to-follow instructions on how to calculate
customer profitability, including worked examples (non-technical)
and discusses strategies and their applications for organizations
to manage customers profitably. Based on cases and feedback from
the KAM Club and other research, there will be many
business-to-business as well as business-to-consumer examples.
The book assumes some level of numeracy in its readership.
The contents include:
* Assessing product costs, costs to serve and how these can be
estimated, and how to deal with customer-specific overhead
costs.
* It discusses the uses and limitations of the use of customer
profitability analysis, and illustrates how to calculate customer
lifetime value using two methods, one with actual numbers and one
which estimates relative customer lifetime value.
* Provides an innovative approach to calculating the lifetime
value of a customer by taking risk into account.
* Demonstrates how to recognise and value the relationship
benefits of customers, such as word of mouth.
* Brings into discussion the idea that how customers are
managed, links to their profitability.
* Describes how financial portfolio analysis and theory apply to
marketing and how, their application to marketing relates to the
optimisation of marketing spend.
Autorentext
Lynette Ryals MA (Oxon) MBA PhD FSIP Professor of Strategic Sales and Account Management, Cranfield School of Management
Lynette has an MA from Oxford, an MBA from International Management Centres (Europe) and a PhD from Cranfield School of Management, where she is Professor of Strategic Sales and Account Management. She is a Registered representative of the London Stock Exchange and is a Fellow of the Society of Investment Professionals.
Currently, she is the Director of Cranfield's Key Account Management Best Practice research Club, Director of the Demand Chain Management Community, and a member of the school of Management's governing Executive Board. She is the author of three previous books and a series of highly-regarded academic and managerial papers and reports. Her PhD on the profitable management of customer relationships resulted in a 270% performance improvement for one of the participating organisations.
Klappentext
"As a global business manager for one of the world's largest professional information networks, my single biggest mission is building relationships with senior executives that will endure and profit both sides for 10 years or more. The brand is their endorsement of our life time value.
Lynette Ryals provides thought-provoking tools, ideas and real-world cases of how to manage the trade offs between the financial relational and strategic value of one's customers. This is a compelling read for anyone who wants to implement change around the true value of your most important business asset - your customer base." Nandini Basuthakur, Executive Director, Corporate Executive Board Company (UK) Ltd.
"Lynette Ryals is a great researcher, teacher, writer and practising manager. She is also an outstanding marketer. Please read this book, which is written in a very engaging style. You will learn so much that is valuable and actionable that it will change your career for the better."Emeritus Professor Malcolm McDonald, Chairman of six companies, former Marketing Director of Canada Dry
"Managing Customers Profitably combines excellent research, practical models and deep insight into the topic. This invaluable guide is clearly written, comprehensive in coverage and should be on the desk of every manager charged with improving customer profitability." Professor Adrian Payne, Professor of Marketing Australian School of Business, University of New South Wales
"An excellent book that will not only provide great guidance to those starting out in sales or marketing but will allow even the most experienced professionals to back up their intuition and judgment with justifiable and objective facts."Richard Vincent, OEM Business Operations Manager, HP Storage Platforms
"The issues involved in attracting and retaining profitable customers are amongst the top challenges faced by the Chief Executives of value chain businesses. This book provides a logical approach to understanding and tackling these challenges, and will prove invaluable to senior managers not only in marketing but also in the other key business areas that drive customer value."Professor Alan Waller, OBE, Vice President, Supply Chain Innovation, Solving Efeso and Vice President Chartered Institute of Logistics and Transport International
"The book highlights and offers great suggestions on how organisations can better position its resources across its customer base. The concept of understanding customer lifetime value was of great interest to me and strongly supports the argument that not all large customers are necessarily strategic ones. Furthermore the importance of selecting the right channel to market to maximise returns and the importance of understanding the true costs of retaining customers longer term are areas I plan to explore further now. A great book and though-provoking for anyone in a commercial management role today."Kevin Gani, marketing & Sales Effectiveness Manager - Europe, Electrocomponents plc
Zusammenfassung
This book is a response to a need in the market place in the fast-growing field of customer profitability analysis and the profitable management of customer relationships. It combines innovative approaches to calculating the value of customers, with the management strategies necessary to make and keep customers profitable.
It includes easy-to-follow instructions on how to calculate customer profitability, including worked examples (non-technical) and discusses strategies and their applications for organizations to manage customers profitably. Based on cases and feedback from the KAM Club and other research, there will be many business-to-business as well as business-to-consumer examples.
The book assumes some level of numeracy in its readership.
The contents include:
- Assessing product costs, costs to serve and how these can be estimated, and how to deal with customer-specific overhead costs.
- It discusses the uses and limitations of the use of customer profitability analysis, and illustrates how to calculate customer lifetime value using two methods, one with actual numbers and one which estimates relative customer lifetime value.
- Provides an innovative approach to calculating the lifetime value of a customer by taking risk into account.
- Demonstrates how to recognise and value the relationship benefits of customers, such as word of mouth.
- Brings into discussion the idea that how customers are managed, links to their profitability.
- Describes how financial portfolio analysis and theory apply to marketing and how, their application to marketing relates to the optimisation of marketing spend.
Inhalt
Foreword.
Acknowledgements.
Introduction.
Section One: How to Value Your Customers.
1. Latest thinking on valuing and managing customers.
2. Customer profitability analysis.
3. Calculating customer profitability.
4. How to calculate c…