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Which is the better segment to pursue

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When comparing the Lifetime Value of customers, how does the time it takes to reach attrition (NPV of annual profits falls below 100) factor into the decision to pursue a customer segment? If segment A reaches attrition in Year 9 with a cumulative lifetime value of 5,000, and segment B reaches attrition in Year 12 with a cumulative lifetime value of 10,000, which is the better segment to pursue?

Reference no: EM132269375

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