Question: We know that the average customer has two service visits / year and spends $ 1 0 0 on each visit and that 8 0

We know that the average customer has two service visits / year and spends $100 on each visit and
that 80% of customers who purchase a bike return to the same shop for service for at least 3 years. If the
margin on service visits is 70%, what would be the estimated value over 3 years of the service component of
Cathys CLV using the probability approach?

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