Retirement Measurement When Estimating Customer Life Characteristics

BVResearch Pro
American Society of Appraisers Business Valuation Review™
Summer 2009 Volume 28, Issue 2 pp. 105-109
Richard K. Ellsworth, PE, ASA


Customer relationship populations exhibit divergent life characteristics across different industries, and retirement rate behavior influences customer life expectancy. Customer population life characteristics are measured through the study of historical customer retirement behavior and the application of statistical techniques to construct survivor curves that describe mortality patterns, which can be used to predict future retirement behavior of a customer population. The selection of the method for measurement of historical customer retirement activity has the potential for significant influence on customer population life characteristics.
Retirement Measurement When Estimating Customer Life Characteristics
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