From the survey data as given, dividing 10000 customers data into four customer segments with average churn (retention) rate. Churners has spending >$0 in 2020 and has no spending in 2021 is marked 1 and customers has spending >$0 in 2020 and 2021 is shown 0. Four customer segments are created base on 2 variable related to "Price" and "Quality Product" factor are Low Quality and Low Price group with average churn of 0.125774699; Low Quality and High Price group with average churn of 0.109155556; High Price and Low Quality group with average churn of 0.280448718; High Quality and High Price group with average churn of 0.311507937.

After this, the retention rate of four customer segments can be calculated are 87%, 89%, 72% and 69%, respectively.

Profit of 9 product category in:

• 2020
• Total profit of 9 product category: $6.046.485
• Average profit of 9 product category: $671.832
• Average revenue: $2.226.629,58

• 2021
• Total profit of 9 product category: $6.031.505
• Average profit of 9 product category: $6.038.995
• Average revenue: $6.035.250
• Customer segment 1
• Number of customers 2020: 2743
• Number of customers 2021: 2398
• Retention rate: 87%
• Average contribution of existing customers: $6.035.250 x 0,2743= $1.655.469
• Discount rate: 3%

• Customer segment 2
• Number of customers 2020: 5625
• Number of customers 2021: 5011
• Retention rate: 89%
• Average contribution of existing customers: $6.035.250 x 0,5625= $3.394.828
• Discount rate: 3%

• Customer segment 3
• Number of customers 2020: 624
• Number of customers 2021: 449
• Retention rate: 72%
• Average contribution of existing customers: $6.035.250 x 0,624= $3.765.996
• Discount rate: 3%

• Customer segment 4
• Number of customers 2020: 1008
• Number of customers 2021: 694
• Retention rate: 69%
• Average contribution of existing customers: $6.035.250 x 0,1008= $608.353,20
• Discount rate: 3%

The CLV and 'Total Segment Value' for four customer segments can be calculated by below formula:

CLV = Average contribution of existing customers X [Retention rate/(1+ Discount rate- Retention rate]
Customer segment 1	$1.655.469 X [87%/(1+ 3%- 87%]= $9.290.680
Customer segment 2	$3.394.828 X [89%/(1+ 3%- 89%]= $ 21.581.407,37
Customer segment 3	$3.765.996 X [72%/(1+ 3%- 72%]= $8.746.829
Customer segment 4	$608.353,20996 X [69%/(1+ 3%- 69%]= $1.234.599

Total Segment Value = CLV x Number of customers 2021
Customer segment 1	$9.290.680 x 2398= $22.279.051.676
Customer segment 2	$ 21.581.407,37 x 5011= $108.144.432.311,38
Customer segment 3	$8.746.829 x 449 = $3.927.326.409
Customer segment 4	$1.234.599 x 694= $856.811.804

Question 1: Compare and contrast the 4 customer segments based on their CLV and total value. Given that you have all the elements of the CLV formula, here you should be able to discuss factors contributing to a low/high CLV for a segment.

Question 2: Discussion & Recommendation: provide a summary of your findings and based on your results and the research questions, you need to come up with some recommendations. Note that recommendations should be practically implementable and be based on the results of your analyses and within the scope of the case/dataset