Customer equity: Concept, background, management and research opportunities

In recent years, intensive researches focused on customer equity management. This paper reviews researches on the customer equity management and concludes the numerous studies in three sectors: customer equity analysis, strategy development and customer equity optimization. We classify the customer equity evaluation models in three categories: customer retention model, customer behavior model and customer transition model. We also point out respective applicable scope and restrictions. Further, the paper also makes comments on theoretical contribution and deficiency of current studies on customer equity.