← Every exhibit

Table Table 1 Growth that compounds

Why does a unified customer value label conceal three distinct behavioral outcomes?

OutcomeDecision questionWhat can go wrong if it is used as a proxy
Next purchaseWhich customers are likely to buy again within the horizon?A purchase can be small, unprofitable, or unrelated to retention
Partial defectionWhich customers may reduce their relationship or activity?A reduced activity pattern can be missed by a binary churn label
Profitability evolutionWhich customers' profit contribution may change?Revenue or purchase count can omit cost and margin

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Reference & Evidence

Source: Table from this essay. Sources and interpretation are given in the article.