Question: CLV Calculation With New Brand Strategy E631 2003 2004 2005 2006 Number of Nights per Stay 2.0 2.0 2.0 Number of Stays per guest (assuming

$CLV Calculation With New Brand Strategy E631\" 2003 2004 2005 2006$

CLV Calculation With New Brand Strategy E631\" 2003 2004 2005 2006 Number of Nights per Stay 2.0 2.0 2.0 Number of Stays per guest (assuming they are retained) 1.3 1.3 1.3 Revenue Per Night per Customer $795.00 $342.70 $893.26 Revenue per Customer $2,067.00 $2,191.02 $2,322.46 Gross Prot per Customer $661.44 $701.13 $743.19 Cost to Acquire Customer $150.00 Annual Marketing Cost per Customer a $142.36 $147.14 $151.56 Additional NIarkeng Cost per Customer\" $8.96 $9.23 $9.50 Cash Flow from Customer if Retained ($150.00) $510.50 $553.90 $591.64 Probability of Being Retained 1.00 1.00 0.22 0.05 Expected Cash Flow from Customer ($150.00) $513.58 $120.04 $27.78 Discount Factor 1.000 1.080 1.166 1.260 NPV 0f Expected Cash Flow from Customer ($150.00) $400.17 $102.92 $22.05 NPV of 6Year Cash Flow $461.09 CLV Innite Lifen1e** $572.80

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

According to the Rosewood case study, moving to a corporate brand from an individual brand is expected to improve customer lifetime value (CLV). Use the Rosewood excel file Rosewood_students V3.xlsx...

According to the Rosewood case study, moving to a corporate brand from an individual brand is expected to improve customer lifetime value (CLV). Use the Rosewood excel file to calculate the impact of...

According to the Rosewood case study,moving to a corporate brand from an individual brand is expected to improve customer lifetime value (CLV).Use the Rosewood excel fileRosewood to calculate the...

Will the move to a corporate improve customer lifetime value? Use the photos to determine the the new brand strategy on customer lifetime value & determine if it will improve lifetime value. . Also...

1. In 2013, several data server companies took a dramatic decision to begin using energy surcharges to recapture rising energy costs. However, customers are critical of how the energy surcharges are...

The purpose of this discussion is to discuss and reflect on the various challenges and opportunities associated with mergers and acquisitions in business organizations. Specifically, we will ask:...

According to the Rosewood case study, moving to a corporate brand from an individual brand is expected to improve customer lifetime value (CLV). Use the Rosewood excel file Rosewood_students V4 to...

A ball rolls without slipping along a horizontal plane. Show that the frictional force acting on the ball must be zero.

Water will boil spontaneously in a vacuum-on the surface of the Moon, for example. Could you cook an egg in this boiling water? Explain.

the dividends paid by a rapidly growing firm are expected to increase by 8 % annually for the next 3 years, with the growth rate falling off to a constant 3 % therafter. the required return is 1 4 % .

A production system seems to have shifted right of the desired mean of a specification for a certain product; in its current state C pk = 0.9199999999999999. It is known that the process has a...

1. Imagine a real situation in your workplace or home situation, where you have given another person feedback on something he has done. a. What was your intention? b. How was the feedback perceived?...

Behaviour: What am I doing?

5. Imagine a situation where you were really annoyed by someone elses behaviour. Try to find the positive intention behind the behaviour.