The Customer-Base Audit: The First Step on the Journey to Customer Centricity

The Customer-Base Audit is a systematic review of a firm's customers' buying behavior using data captured by its transaction systems. It helps executives understand the health of their customer base, growth objectives, customer behavior, quality, and changes in performance. Five lenses are provided to address these questions, which are often scattered throughout the organization. This audit is essential for making informed decisions, as it provides a basic understanding of the firm's primary source of cash flow.

Format: Paperback / softback
Length: 218 pages
Publication date: 01 November 2022
Publisher: Wharton Digital Press

As a leader in your organization, you are likely well-versed in your organization's key financial statements and monthly management reports. You may have spent countless hours discussing budgets and expenditures, but have you ever taken the time to reflect on the fact that these revenues are generated by actual customers – the people who pull out their wallets and pay for your products and services? In "The Customer-Base Audit: The First Step on the Journey to Customer Centricity," experts Peter Fader, Bruce Hardie, and Michael Ross guide you on a path toward truly understanding your customers' buying behavior and the health of your overall customer base.

A customer-base audit is a systematic review of the buying behavior of a firm's customers using data captured by its transaction systems. It helps you answer questions such as:

- How healthy is your customer base?
- How realistic are your growth objectives?
- How do your customers differ in terms of their behavior and value?
- How has the quality of your customers changed over time?
- What changes in customer behavior lie behind period-to-period changes in firm performance?
- What is important to your high-value customers? Which products help you acquire and retain your best customers?

Fader, Hardie, and Ross present five lenses through which an executive can address these questions. The answers are often lurking in various parts of the organization, but it is rare to find all the relevant analyses in one place, let alone performed on a regular basis (as an audit should be). Yet without such a basic, systematic understanding of the foundations of the firm's primary source of cash flow, how can executives make informed decisions?

Fader, a Wharton professor, is the author of "The Customer-Base Audit: The First Step on the Journey to Customer Centricity."

Dimension: 216 x 140 (mm)
ISBN-13: 9781613631607