Journal of Marketing 2005
Incorporating Strategic Consumer Behavior into Customer Valuation
Abstract
The calculation of customer value without regard to marketing policy is problematic because the value of managerial flexibility and the impact of consumer learning are neglected. This article develops a structural dynamic programming model of consumer demand that includes marketing variables and consumer expectations of promotions. The author uses the estimated parameters to conduct policy experiments that yield more accurate forecasts of customer value and to study the impact of alternative marketing policies.
- DOI
- 10.1509/jmkg.2005.69.4.230
- Sources
- openalex