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Calculate the customer lifetime value (over entire lifetime), if the annual profit contribution of customer D, is $200 . Is it worth targeting this customer
Calculate the customer lifetime value (over entire lifetime), if the annual profit contribution of customer D, is $200 . Is it worth targeting this customer if the cost of acquiring customer D is $600. Discount rate is 10% Retention rate is 0.8 Customer has a Contractual relationship with MV The payment is made at the beginning of the month Also provide the formula you use for calculating the CLV.
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