JAM : Jurnal Aplikasi Manajemen
Vol 17, No 3 (2019)

CUSTOMER SEGMENTATION ANALYSIS BASED ON THE CUSTOMER LIFETIME VALUE METHOD

edwin agung pratomo (Faculty of Economic Management, Institut Pertanian Bogor)
Mukhamad Najib (Department of Management, Institut Pertanian Bogor)
Heti Mulyati (Department of Management, Institut Pertanian Bogor)



Article Info

Publish Date
31 Aug 2019

Abstract

Companies need to understand the customers’ data better in all aspects. Detecting similarities and differences among customers, predicting their behaviors, proposing better options and opportunities tocustomers became very important for customer-company engagement. Companies need a database of customer that contains customer information in detail, one of which is data about the potential value of each customer.Customer Lifetime Value (CLV) measures the potential value of each customer from the perspective of a service or product provider.This study aims to analyze Customer Lifetime Value (CLV) of the customer and clustering it into customer segmentation using the K-means cluster method.The results showed the highest average CLV value with is Rp 19,170,991,- and the lowest average value is -Rp 112,566,-. The customer clustering produced in this study isfour segmentswith the majority of customers at cluster 3 segment low with 51 unit population.

Copyrights © 2019






Journal Info

Abbrev

jam

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

Jurnal Aplikasi Manajemen - Journal of Applied Management (JAM) publishes all forms of quantitative and qualitative research articles and other scientific studies related to the field of functional management (marketing, finance, human resources, and operations) as well as the applied management and ...