The rise of social media has required companies to reevaluate the way they determine customer value, which in turn can reshape customer engagement strategies, according to a new report from the Economist Intelligence Unit.
Measures of customer value that focus solely on transaction activity capture only a fraction of an individual's behavior and potential value.
The report also identifies a clear need for technology to help organizations maximize social media efforts.
Organizations are now starting to think about the value of influence and collaboration – particularly given the growth of social media -- instead of focusing on revenue or profit associated with an individual's or household's transactions.