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3 Circles of Customer Value

3 Circles of Customer Value

Imagine you own a small restaurant and a guy walks in for soup. There are 3 horizons to think about his value: the profit from this transaction, the lifetime value if he returns, and the network value if he brings others. Three expanding circles of customer value.

Transaction value → Lifetime value → Network value

business customers value
Source: George Strakhov (2020)