Customer Lifetime Value Management and Firm Performance. Empirical Evidence from Polish Insurance Market

Abstract

The purpose of this article is to identify the relationship of customer lifetime value management and firm performance by empirical verification of a conceptual model. In the presence of the increasing level of competition in many industries, it is important to build long-term relationships with customers. Customer lifetime value management is the composition of marketing activities, that can be useful to build these kind of relationships through the prism of customer lifetime value. The thesis about the effectiveness of customer lifetime value management in the field of customer knowledge creation has been verified positively by the results of the study.The study was conducted from August till September 2012 and was attended by 1.245 micro-enterprises operating on financial advisers market in Poland (here: insurance agents).