Creation of Jajak Pendapat’s Panel Retention Strategy Based on Customer Lifetime Value (CLV) Analysis

• Main Author: Abner Janurwendo, Michael
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/43262
• Institution: Institut Teknologi Bandung

Jajak Pendapat is an online survey panel service business, its main business processes are connecting researcher to a targeted research panel, analysing survey results, and giving consultation to researcher based on the survey results analyses. The growing accumulative number of panel is not coherent with the number of active panel each month while one of the main values of the company is to fast serve survey results and analyses. The speed of survey results is very depedant on how active the panel are. Hence to generate more active panel, Jajak Pendapat launched CRM strategies, but their CRM strategies have not incorporated personalization concept towards potential panel. One of the methods used to determine the potential panel is Customer Lifetime Value. In this research, CLV measurement for each Jajak Pendapat’s panel is using Pareto/NBD model Schmittlein & Peterson (1987). Pareto/NBD model is used to calculate CLV when the business context is non-contractual. In this research, intervention on the model is done minimize the systematic bias indicated in the measurement process. The chosen intervention is regression linear whilst it produces a result that is not far from the average method, it has a much better predictive power. After finding CLV scores for each panel, segmentation is built. The concept used for segmenting the panel is the concept publicized by Raaij et al. (2003), because this research incorporated both revenue and cost, panel may contribute loss to the company, hence the segmentation concept is modified by the concept publicized by Kotler & Keller (2012, p. 132). Segments that is created are called top, large, medium, small, and loose panel. Hereinafter, the segments are profiled using demographic variables. Last but not least, retention strategies are created based on the appointed segments and CRM budget is created based on each segment’s profit contribution for the company. This paper presents two retention strategy proposal, the first one is targeted rewards and the second one is loyalty program that has three subprograms which are tier system reward, fee for VIP member, and non-monetary program.