I very well could be overthinking this one. But I truly am struggling with the question. I feel like I can’t answer it without more information.

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I very well could be overthinking this one. But I truly am struggling with the question. I feel like I can’t answer it without more information.

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this is the direction I am going so far

Monthly Cost = $130  x 12 months + $1560

Previous Years = 15 so $1560 x 15 = $23,400 

Future Years = 35 so $1560 x 35 = $54,600

this would give a total cost of $78,000

Can you help me with this question please

Written Assignment One-Pager: Customer Lifetime Value Worksheet

Let’s look at the ‘Customer Lifetime Value’ marketing concept. We’ll use the following hypothetical scenario to calculate the total expenditure for auto insurance. Try not to overthink here, just calculate the numbers… monthly cost times number of months times total number of years (previous & future):

  • Monthly cost = $130
  • Number of previous years = 15
  • Number of future years = 35

I need to provide (approximately 75-100 words) based on the following two questions:

  1. What would the total Customer Lifetime Value using these calculations? (show your worksheet)
  2. Why should all of a firm’s departments understand the impact of this strategy?

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