Customer Analytics For Dummies

There is a diminishing return from increasing sample sizes beyond a certain point.

To determine which customer segments are economically the most important to you, estimate the percentage of customers in a specific segment who are going to purchase your product within a specific time period and the amount of revenue you expect from each sale.

more discussion on finding similarities with customer analytics in the appendix and in the book Predictive Analytics for Dummies (Wiley).

Look to identify attitudes and psychographics

Customer Lifetime Revenue: The total top line revenue a customer generates over some “lifetime,” which can be days, months or years

A model is a description of a customer interaction, process, or behavior that can be used to predict future outcomes.

Continuous data technically has an infinite number of steps, which form a continuum. The time to find a product

Personas concentrate on what a user does, what frustrates him, and what makes life a bit easier. A good persona is a narrative that describes a person’s typical day and experiences, as well as skills, attitude, background, environment, and goals. Personas identify the motivations, expectations, aspirations, and behaviors common to a large segment o

cheat sheet for this book is at www.dummies.com/cheatsheet/customeranalytics

Dependent variables are usually the things you care about but can’t affect directly, such as profitability, customer satisfaction, and customer loyalty.