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Predicting Customer Potential Value: an application in the insurance industry

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Author Info
Verhoef, P.C.
Donkers, A.C.D. (Erasmus Research Institute of Management (ERIM), RSM Erasmus University)

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Abstract

For effective Customer Relationship Management (CRM), it is essential to have information on the potential value of customers. Based on the interplay between potential value and realized value, managers can devise customer specific strategies. In this article we introduce a model for predicting the potential value of a current customer. Furthermore, we discuss and apply different modeling strategies for predicting this potential value.

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File URL: http://hdl.handle.net/1765/67
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Publisher Info
Paper provided by Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam. in its series Research Paper with number ERS-2001-01-MKT Revision_Date: 2009-07-29.

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Date of creation: 10 Jan 2001
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Handle: RePEc:dgr:eureri:200161

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Web page: http://www.erim.eur.nl/

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Related research
Keywords: customer relationship management; customer potential; marketing models; insurance industry;

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  1. Hauser, John R & Urban, Glen L, 1986. " The Value Priority Hypotheses for Consumer Budget Plans," Journal of Consumer Research: An Interdisciplinary Quarterly, University of Chicago Press, vol. 12(4), pages 446-62, March.
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This page was last updated on 2009-11-18.

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