National Pen President and CEO, Dave Thompson, contributed a piece to Entrepreneur Magazine regarding how to expand your custom’s lifetime value.
Thompson states that the lifetime value of a client can be determined by something as simple as what month they actually become a patron. When they become a patron determines whether or not the company has the opportunity to capture sales in the off-season, when these patrons would not normally make purchases. Even though this concept sounds simple, most companies do not follow it as frequently because they get caught up in the factor of the cost-per-customer acquisition that may be higher during the off-season. The main point of Thompson’s article is that going the extra mile and spending a little bit more in the short-term to acquire customer purchases in the off-season is what yields a greater lifetime customer value.