Don Peppers and Martha Rogers Ph.D. invented one-to-one business strategy over 15 years ago. Today, they are recognized gurus, acclaimed authors and globally sought-after speakers.

Category Archives:

Lifetime Value

April 28, 2010

Customer Strategist Orkun Oguz:
Striking a Customer-Centric Strategy Through the Upturn

Although unemployment rates continue to remain high and some market sectors, such as real estate, have not yet rebounded, most corners of the economy continue to gain strength. As corporate financial performance improves, many CEOs are focusing on expanding product sales or diversifying into new markets.

That type of thinking is a common knee-jerk approach most decision-makers often make in the early stages of an economic recovery. Ultimately, however, it's a misguided methodology.

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Striking a Customer-Centric Strategy Through the Upturn" »

February 11, 2010

Comparing Customer Experience and Return on Customer

There is a lot of discussion lately about "return on customer experience," an idea we think should be almost directly aligned with our Return on Customer concept. Buzz-Talk's blog has an excellent summary of many of the more recent findings in this field. Unfortunately, the "proof points" that get the most attention in Buzz-Talk's and other discussions of customer experience management have to do with comparisons of the overall economic and financial performances of CXP leaders and CXP laggards.

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February 9, 2010

Has the Time Come for "Return on Customer" At Last?

There is an interesting and well-informed article discussing Martha Rogers' and my Return on Customer metric in the most recent issue of the UK's Marketing Week magazine. David Reed, who covers the "data strategy" beat for the magazine, writes that while the data side of marketing has benefited greatly from a renewed attention to the financial metrics of success, particularly ROI, this might be a short-term blessing for the discipline. What he means is that ROI metrics typically look at campaign or product profitability figures, but have little to say about the long-term value created (or often destroyed) by marketing efforts. On the other hand, he says, the ROC metric does capture long-term value, because it incorporates changes in customer lifetime value (LTV). [Note, please that Martha and I have trademarked the terms "Return on Customer" and "ROC." We grant permission to people to apply these terms to their own analytics efforts when we deem the terms are used correctly.]

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