Editor's note: The abridged version of "Maximizing the Lifetime Value of Your Customer Segments" was published in the June Issue of DM Review. This online unabridged version includes details on how to implement a horizontal, time-based contact management strategy.
Too often, companies expend considerable effort developing and maintaining segmentation systems and targeting models with little consideration as to who should be targeted when. They do little analysis on who is targeted, how often and how that affects long-term results. Many customer analytic models and segmentation systems provide insight into who should be targeted or what message to deliver, but the models themselves rarely offer an optimum long-term contact strategy.
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