Charity uses lifetime value modelling to assess returns from new eCRM system

A charity is considering implementing a new e-mail marketing system to increase donations from its donors. The charity's main role is as a relief agency which aims to reduce poverty through providing aid, particularly to the regions that need it most. Currently, its only e-mail activity is a monthly e-newsletter received by its 200,000 subscribers which features its current campaigns and appeals. It hopes to increase donations by using a more targeted approach to increase donations based on previous customer behaviour. The e-mail system will integrate with the donor database which contains information on customer profiles and previous donations.

The company is considering three solutions which will cost between £50,000 and £100,000 in the first year. In the charity, all such investments are assessed using lifetime value modelling.

Table 6.3 is a lifetime value model showing customer value derived from using the current system and marketing activities.

Table 6.3 Lifetime value model for customer base for current system
Pumping Out Your First Email List

Pumping Out Your First Email List

Think Mailing Lists Are Obsolete? THINK AGAIN. Without A Mailing List You're An Online Disaster! They Will Never Get That Credit Card Out to Buy. Don't waste time with trendy theories about the new SEO and Web 2.0. Get back to basics and create your own double opt-in mailing list and do it in less than one month. Increase Conversions, Sales and Affiliate Income Using Tried and True Email Marketing Methods. BUILD AN EMAIL LIST THAT IS 2500 MEMBERS STRONG IN LESS THAN THIRTY DAYS.

Get My Free Ebook

Post a comment