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Research Paper | Statistics | Cameroon | Volume 10 Issue 1, January 2021
Identification of the Productive Potential of Customers in a Commercial Bank Portfolio: Calculation of the Customer Lifetime Value using Statistical Learning Method
Tchokomeni Herve
Abstract: The high temporal variability in the productivity of portfolio calls into question the approach to monitoring customer relationship at Afriland First Bank Cameroon. The Customer Lifetime Value, calculated based on the specific consumption habits of corporate clients in the portfolio over the period from January 1, 2016 to December 31, 2018, makes it possible to determine the individual productive potential of that customer. The calculation of the transition probabilities by Markov chains between productivity levels over time shows that customers from the least productive segments have a very good probability of migrating to high productivity segments. The combination of the productivities of the segments with the probabilities of migration between the productivity levels shows that the highest Customer Lifetime Value segment is 87, 019, 958 CFA francs per year for the group of high productivity, and 1, 451, 828 CFA francs for the low productivity group.
Keywords: Customer Lifetime Value, Markov chain, Productivity, Segmentation, Transition probability
Edition: Volume 10 Issue 1, January 2021,
Pages: 1435 - 1444
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Research Paper, Statistics, Nigeria, Volume 12 Issue 8, August 2023
Pages: 907 - 911Bayesian Approach to Modelling Malaria Incidence in Pregnant Women in ADO-ODO/OTTA, Ogun State, Nigeria
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Case Studies, Statistics, Saudi Arabia, Volume 10 Issue 2, February 2021
Pages: 952 - 955Forecasting Students Performance: A Case Study at Tabuk University
Mohamed Zidan | Atif Ali Yassin [2] | Gafar Haroun