Interactive Health, Inc. Considering the big data analysis and customer profiles, IH would like to narrow down the segments to target their next marketing effort. With the variety of IH's customers and the potential for new customers as a result of the I-Tread, the IH marketing team has suggested they calculate CLVs comparing customer types by product purchase before they execute next year's marketing campaign. The marketing team pulled together the following data on each customer type per primary product/product line purchases (first purchase). (Note: IH currently pays 4% interest on its debt.) - I-Tread-average annual sales $4,493 (equipment, subscription, stretching and recovery products, workout clothing, smart products); Average profit margin 9%; expected lifetime including customers who age-in and age-out is 20 years. - Home exercise equipment (weights, mats, foam, recovery products, workout clothing, workout subscription services)average annual sales is $740; average profit margin is 39%; expected lifetime including customers who age-in and age-out is 32 years. - Exercise bikes or elliptical-average annual sales $1,600; average profit margin is 7%; expected lifetime 10 years. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Do not round intermediate calculations. Questions Use the data to calculate customer lifetime value (CLV). Round your answers to the nearest dollar. What is the most attractive customer type? Interactive Health, Inc. Considering the big data analysis and customer profiles, IH would like to narrow down the segments to target their next marketing effort. With the variety of IH's customers and the potential for new customers as a result of the I-Tread, the IH marketing team has suggested they calculate CLVs comparing customer types by product purchase before they execute next year's marketing campaign. The marketing team pulled together the following data on each customer type per primary product/product line purchases (first purchase). (Note: IH currently pays 4% interest on its debt.) - I-Tread-average annual sales $4,493 (equipment, subscription, stretching and recovery products, workout clothing, smart products); Average profit margin 9%; expected lifetime including customers who age-in and age-out is 20 years. - Home exercise equipment (weights, mats, foam, recovery products, workout clothing, workout subscription services)average annual sales is $740; average profit margin is 39%; expected lifetime including customers who age-in and age-out is 32 years. - Exercise bikes or elliptical-average annual sales $1,600; average profit margin is 7%; expected lifetime 10 years. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Do not round intermediate calculations. Questions Use the data to calculate customer lifetime value (CLV). Round your answers to the nearest dollar. What is the most attractive customer type
