We extend Schmittlein et al.'s model (1987) of customer lifetime value to include satisfaction. Customer purchases are modeled as Poisson events and their rates of occurrence depend on the satisfaction of the most recent purchase encounter. Customers purchase at a higher rate when they are...

As social influence plays a key role in the diffusion of new product, a customer's value goes beyond her own product purchase. Building on the two-segment Influential-Imitator asymmetric influence model by Van den Bulte and Joshi (2007), our model posits that a customer's value (CV) comes...

When social influence plays a key role in the diffusion of new product, the value of a customer often goes beyond her own product purchase. We posit that a customer's value (CV) comes not only from her purchase value (PV) but also from her influence value (IV) (i.e., CV = PV IV). Therefore, a...