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Question 272 - Certified Sales Cloud Consultant discussion

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Annual sales numbers change depending on renewal periods and new products. Sales managers at Universal Containers (UC) want to emphasize the importance of customer retention when prioritizing the pipeline and customer engagement for the sales team.

Which metric should the consultant recommend to help UC emphasize the importance of customer retention to the overall business strategy?

A.
Total pipeline Value
Answers
A.
Total pipeline Value
B.
Customer Lifetime Value (CLV)
Answers
B.
Customer Lifetime Value (CLV)
C.
Annual Contract Value (ACV)
Answers
C.
Annual Contract Value (ACV)
Suggested answer: B

Explanation:

Customer Lifetime Value (CLV) is a key metric that helps organizations understand the long-term value of a customer relationship. It emphasizes the importance of customer retention by measuring the total revenue a business can reasonably expect from a single customer account throughout the business relationship. For Universal Containers, focusing on CLV will help sales managers prioritize customer engagement and retention strategies, highlighting the ongoing value of maintaining strong customer relationships over simply acquiring new customers.

Customer Lifetime Value (CLV) in Salesforce

Metrics for Customer Retention

asked 23/09/2024
Parita Malbari
48 questions
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