Customer value management based on AHP and K-means clustering method

Abstract

Customer value is a key criterion for a company to evaluate its customers, which is also a basis for a company to allocate resource to customers. Based on customer value researches made by scholars at home and abroad, this paper uses customer value management to the release of teaching assistant newspaper profession for the first time. In this paper, the author combines AHP and K-means clustering method, and divides the Chinese weekly newspaper office's customers into platinum customers, golden customers, iron customers and lead customers by selecting appropriate indicators which based on customer's current value and potential value. At last, this paper proposes some strategic suggestions for the office's management for each type of customers, which could make the office's resources more efficient for each customer.