After reading ‘Data Analytics Technique (7.1) Multivariate Regression Analysis’, I’d like you to reflect on the analysis conducted.
Case Scenario
A B2B supplier of electrical equipment is going through a redesign of its relationship marketing efforts directed at buyers, and it seeks to ensure that it is investing in RM efforts that boost the CLV of each of its buyers. Currently, the supplier is investing in three kinds of RM efforts: social (e.g., meals, sporting events), structural (e.g., customized packaging), and financial (e.g., free giveaways of small electrical parts that are part of the electrical installation service it provides).
Note: The results of the effects of social, structural, and financial RM efforts are provided on pg. 215 of the textbook or slide 54 of the supplementary slides.
Your Task
Reflect on both the reading, and the case and answer the following questions:
Which of the independent variables considered in the regression analysis are effective in driving customer lifetime value?
List all the variables, including the variables related to the buyer firm, starting from the most effective, while also taking into consideration the magnitude of the coefficient.
One of the RM efforts used is not successful in increasing customer lifetime value. What do you think is the reason behind that?
How can the supplier make sure they can benefit from this kind of RM effort to increase customer lifetime value in the future?
