Uncovering Customer Profitability Segments for Business Customers

Autor: Tanya Mark, Rakesh Niraj, Niraj Dawar
Rok vydání: 2012
Předmět:
Zdroj: Journal of Business-to-Business Marketing. 19:1-32
ISSN: 1547-0628
1051-712X
DOI: 10.1080/1051712x.2011.593022
Popis: Purpose: A central premise of relationship marketing theory is that economic benefits flow from retaining customers. However, the early research focus on the duration of the relationship may obscure other important aspects of the interaction with the customer that drive profitability. Borrowing from the branding literature, where different types of customer relationships have been described (but not empirically examined), the authors segment customers based on their buying behaviors over time and uncover several distinct patterns of profitability. Methodology: To arrive at a refined measure of customer profitability, the authors allocate costs using activity-based costing. They then segment customers using a finite mixture model relating customer buying characteristics over time to profitability over a three-year period. Findings: Their analysis yields six segments, each with its own unique relationship profile. They find that determinants of profitability vary across the six segments. Interestingly, in n...
Databáze: OpenAIRE
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