Which term refers to the net present value of future cash flows attributed to the customer relationship?

A) customer loyalty
B) customer retention
C) customer attractiveness
D) customer lifetime value

Customer Lifetime Value

An estimation of the total value a business can expect from a single customer throughout the entirety of their relationship.

Net Present Value

A financial metric assessing the profitability of an investment, calculated by subtracting the present value of cash outflows from the present value of cash inflows.

Customer Relationship

The interactions and engagement between a business and its customers, aiming to improve satisfaction, loyalty, and ultimately sales.