Question
Great Gator Gifts (GGG) launched a Touchdown Club, where Gator fans can create a wish list of Gator items. Every year, at the beginning of
Great Gator Gifts (GGG) launched a Touchdown Club, where Gator fans can create a wish list of Gator items. Every year, at the beginning of football season, GGG sends a link to the spouse of each member of the Touchdown Club with a reminder to kick the season off with a special Gator gift. GGG attracted new customers at a cost of $25.00 each and tracked their purchases over a 4-year period. The average annual purchase was $500.00, with a gross margin of 60% and annual per capita marketing expense of $50.00. GGG uses a discount rate of 8%, and the observed annual retention rate of Touchdown Club members was 50%. What was GGGs 4-year CLV?
Please do it in Excel as it is the example.
CLV Computational Example - All-Star Toys \& Games, a toy retailer, launched a Birthday Club, where parents provide their children's toy preferences and their child's grandparents' addresses. All-Star sends each grandparent a reminder and hints for gifts two weeks before their grandchild's birthday. CLV Example - 2,000 new customers were attracted at a cost of $20 each and then tracked over a 3-year period ( T =3 ). The average annual purchase was $1000.00, with a gross margin of 50% and annual per capita marketing expense of $100.00. All-Star uses a discount rate of 10%, and the retention rate was 40%. -What is All-Star's 3-year CLV for the Birthday Club? And the answer isStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started