A descriptive study on determining multichannel contact resource allocation strategy through customer lifetime value (CLV) analysis

• Main Author: Baljon, Madel D.
• Format: text
• Language: English
• Published: Animo Repository 2011
• Subjects: Customer relations; Consumers; Consumers—Research; Marketing
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/5921; https://animorepository.dlsu.edu.ph/context/etd_masteral/article/12834/viewcontent/CDTG004885_F_Redacted.pdf
• Institution: De La Salle University

This is a descriptive study on identifying the optimal contact channels through customer lifetime value (CLV) analysis. The research begins by identifying the pain points of the focal firm, Lamco International, as an IT distributor who may be riding the highs in terms of premium brand coverage but is also wary of beyond the surface dangers on how to manage growth – erosion of profits, suboptimal channel coverage, limited resources, dependence on single contact channel and the likes. The firm has to evaluate and then decide whether they will continue to do business the traditional way or whether they will add a method to the madness by considering lifetime value segmentation and subsequent alignment of services. To guide this study, various frameworks from similar business settings have been gathered and re-designed to fit the model needed by the firm. Also, a review on related literature has been done on the topics of customer relationship management and multi-channel contact channel options to add color and context to the study and subsequent recommendations. The research methodology is presented which takes from 3-year purchase data as well as survey questionnaires to be administered to 129 respondents which was further delimited to 63 partners to accommodate non-response from the initial list. A tabulation of responses is presented as well as the results of testing the seven research hypotheses using various statistical treatments such as Chi-square, One-way ANOVA, Independent sample t-test and Linear Regression from the SPSS package. Finally, the study comes full circle as the respondent goes back and answers all research objectives using the data gathered and gives out recommendations for the focal company in terms of aligning their customers’ contact channels with respect to CLV.