Dynamics Community Forum Thread Details

How does MS Dynamics increase customer lifetime value?

Dear Ladies and Gentlemen!

I am investigating how the Customer Lifetime Value (CLV) is influenced by the CRM system of MS Dynamics. I would like to understand explicitly which tool supports CLV and why? Moreover, I would like to understand how it increases CLV... thank you very much in advance.

With kind regards

Erdinc Babayigit

Hi erdincbabayigit I hope you are doing good.

Customer Lifetime Value is one of most important indicators to work on since acquiring a new customer can cost you five times as much as retaining an existing one. This reason and others highlight why customer retention should be a major factor in your marketing efforts.

Microsoft knows that and for that reason their CRM have some characteristics that can help you increase CLV with technologies like machine learning.

Customer lifetime value (CLV) prediction is a feature included in Microsoft Dynamics that predict potential value (revenue) that individual active customers will bring into your business through a defined future time.

This feature can help you achieve various goals:

Identify high-value customers and process this insight.
Create strategical customer segments based on their potential value to run personalized campaigns with targeted sales, marketing, and support efforts.
Guide product development by focusing on features that increase customer value.
Optimize sales or marketing strategy and allocate budget more accurately for customer outreach.
Recognize and reward high-value customers through loyalty or rewards programs.

Here more info of how this works:

Customer lifetime value (CLV) prediction - Dynamics 365 Customer Insights | Microsoft Docs

Also, Microsoft Dynamics Omnichannel for Customer Service allows you improve customer experience and as a result it will impact de CLV. This application enables organizations to instantly connect and engage with their customers across digital messaging channels.

Here more info:

Introduction to Omnichannel for Customer Service | Microsoft Docs

Overview of chat and omnichannel capabilities in Dynamics 365 for Customer Service - YouTube

There are lots of more features that can help you to increase CLV so I give you the floor to explore more of those ways in which Microsoft Dynamics will support you.

If this is helpful for you, please check it as verified.

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