CUSTOMER LIFE CYCLE

1) PROSPECTS

1) NOT YET CUSTOMER

2) REPRESENT POTENTIAL VALUE
3) CONSUMER EXPECT INITIAL SET OF
EXPECTATION
4) PRICE IS IMPORTANT
2) FIRST TIME BUYER

 NEWLY ACQUIERED CUSTOMER

 LOWEST RETENTATION RATE
 PRODUCT SHOULD ABOVE QUALITY
CUT OFF
 PRODUCT IS BELOW QUALITY CUT
OFF-CUSTOMER DIVERT TO OTHER
3) EARLY REPEAT
BUYERS
 INDICATES SATISFACTION
 SATISFACTION DEPENDS ON
REPEATITION
 QUALITY SHOULD BE SAME
4) CORE CUSTOMERS

 CUSTOMERS START REPEAT

PURCHASES
 PRODUCTS MEETS THE EXPECTATION
 HIGHEST RETENTATION RATE
 MAX PROFIT FROM THESE GROUP
5) CORE DEFECTORS

 COMPETING PRODUCTS ORSERVICES

 CUSTOMER SERVICE PROBLEB
 BOREDOM