Counting your customers: who are they and what will they do next?
Management Science
Mailing decisions in the catalog sales industry
Management Science
Assessing the Service-Profit Chain
Marketing Science
Identifying Innovators for the Cross-Selling of New Products
Management Science
Brand Loyalty Programs: Are They Shams?
Marketing Science
Dynamic Catalog Mailing Policies
Management Science
Using Online Conversations to Study Word-of-Mouth Communication
Marketing Science
Measuring Brand Value in an Equilibrium Framework
Marketing Science
Metrics---When and Why Nonaveraging Statistics Work
Management Science
Determining Optimal CRM Implementation Strategies
Information Systems Research
Exploring the economic value of personal information from firms' financial statements
International Journal of Information Management: The Journal for Information Professionals
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The need to understand the relationships among customer metrics and profitability has never been more critical. These relationships are pivotal to tracking and justifying firms' marketing expenditures, which have come under increasing pressure. The objective of this paper is to integrate existing knowledge and research about the impact of customer metrics on firms' financial performance. We investigate both unobservable or perceptual customer metrics (e.g., customer satisfaction) and observable or behavioral metrics (e.g., customer retention and lifetime value). We begin with an overview of unobservable and observable metrics, showing how they have been measured and modeled in research. We next offer nine empirical generalizations about the linkages between perceptual and behavioral metrics and their impact on financial performance. We conclude the paper with future research challenges.