Experience, that a business relationship over the entire life cycle across leads to costs and revenues of building business relationships can be regard as a investment analog caused as these costs and revenues achieved. Investment-related approaches to the calculation of the value of the customer are more complex than scoring models. The main problem for this kind of analysis calculation consists in the incomplete data base, which contains all costs and revenue effects of a customer relationship. The lifecycle approach to calculate the capital value of a business relationship is based on the experience that the customer relationship life cycle across leads to costs and revenues: these can be assigned to corresponding to this life cycle. This procedure is worth considering especially for industries, which have sufficiently customer-specific data to the purchase history: for example, in the mail or at banks, insurance companies and other financial service providers.
Already, the mapping of this data on specific business relationships can Create information assets with regard to the profitability of individual customers. In the investment-oriented approach of the life cycle costing rather than expected with costs and revenues withdrawals or deposits. For example, the construction phase of the respective business relationship includes the periods of 1 to 3. Only payouts fall into this cycle – E.g. for pre sales acquisitions, mailings, field visits, advertising, offers, Verwaltung-on. Only payments incurred during the construction phase. The order values to estimated by individual AD employees per project/customer related job chances and accepted AE times can be used among other things for the estimate of the future potential of a business relationship. The next phase of the intensive business relationship begins in period 4 and ends in period 8.
In addition to different payouts, it comes from sales and maintenance to deposits. Both deposits and withdrawals incurred during the intensive phase”of the business relationship. The phase of running Business relationship includes, for example, the periods of 9 and 10. Obtained in this cycle proceeds only from maintenance, manufacturing and sales processing costs no longer apply, but increased withdrawals from service, customer service. No manufacturing / distribution costs fall more into the exit, follow-up cycle. Using the net present value method, the time value of money can be taken into account. To this end all future deposits and withdrawals on the date of the first payment = discounted are discounted. The discounted payments are known as cash values.