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Customer Profitability Analysis Topic Gateway
www.cimaglobal.comTopic Gateway Series Customer profitability analysis 3 Definition and concept Customer Profitability Analysis (CPA) is the: ‘Analysis of the revenue streams and service costs associated with specific customers or customer groups.‘ CIMA Official Terminology 2005 Kotler (1997) defines a profitable customer as:
Customer Profitability Analysis - CIMA
www.cimaglobal.comstrategy?” Harvard Business Review (November-December). First Union recognizes that not all customers are the same. Though cus-tomer satisfaction is important, the goal is to increase customer and cor-porate profitability. Customer prof-itability analysis is evolving as a basis for determining the level of service STRATEGY 3