Stew Leonard,the owner of a highly successful regional supermarket chain,reacts adversely to losing a single customer sale.He feels that this amounts to losing the entire stream of future purchases that a customer is likely to make if she remains in the area.Stew Leonard's concern is an illustration of which of the following?
A)market share
B)share of customer
C)market share maintenance
D)partner relationship management
E)customer lifetime value

Question

Quizplus · Accepted Answer

Stew Leonard's concern for losing a single customer sale demonstrates his understanding of the concept of customer lifetime value, which refers to the total amount of revenue a customer is likely to generate over the course of their relationship with the business. Losing a customer means losing out on all the potential future sales that they could bring in, thereby reducing the overall lifetime value of the customer to the business.

Stew Leonard,the Owner of a Highly Successful Regional Supermarket Chain,reacts