Abstract
M.Comm.
This study will determine the value that a Customer Lifetime model can provide
within financial services. The study will be a literature study followed by empirical
research. The research part of the study will determine the value of the application
of a CLV model for the various business areas within a financial services
organisation. The purpose of the study will be to explore the concept of CLV (through
definitions, brief analysis of CLV methodology and metrics). Then the areas within
a business where CLV modelling within the ambit of Customer Value Management
(CVM) can have a positive impact will be explored in more depth through
interviews, discussion, short questionnaires and various company based literature.
The risks and obstacles involved in using CLV models and implementing CVM will
be briefly mentioned, but no in depth study will be made of these evident risks and
obstacles. Finally, strategic recommendations will be made with regards to using
the model based on a combination of literature and empirical research.