This downloadable interactive workbook, one of several
workbooks/tutorials from the HBS Toolkit used by Harvard
Business School students, is designed to help estimate
the cost of acquiring a customer and the Net Present
Value (NPV) of that customer's business during his or
her economic life.
The HBS Toolkit Lifetime Customer Value Calculator tool
is designed to let the user estimate the cost of
acquiring a customer and the Net Present Value (NPV) of
that customer's business during his useful economic
life. Two models are offered—a simple one that looks at
a single product and somewhat simplified assumptions,
and a more complex model that allows the user to examine
multiple products with distinct customer loyalty and
repurchase characteristics.
