Statistical Methods in Customer Relationship Management

3.6 Chapter Summary

The purpose of this chapter was to explore the current models for customer acquisition and provide some empirical examples as to how firms can apply this knowledge. Customer acquisition is the first key step in the CRM process. We have also shown that when firms engage in optimal prospect selection by understanding the drivers of customer acquisition and the ‘right’ amount of customer acquisition effort by understanding the relationship between marketing spending and customer value, the result can generate significant customer and firm profitability.