Calculate the impact of the new brand strategy on customer lifetime value.

According to the Rosewood case study, moving to a corporate brand from an individual brand is expected to improve customer lifetime value (CLV). Use the Rosewood excel file to calculate the impact of the new brand strategy on customer lifetime value.

Please note that there are items in the spreadsheet to be included in the analysis that are not mentioned in the case study that will impact lifetime value. The assumed of 115,000 guests has been increased to 125,000 guests as a result of an inflight adverting campaign with business class customers of Delta airlines.

After determining the increase in CLV resulting from the changes, use it to estimate the additional sales to be targeted (see lower left of the spreadsheet).

Please submit your spread sheet with the analysis (in Excel format) along with a word file (single-spaced not more then 1/2 page):

(a)explaining your analysis, and

(b) suggesting some possible reasons for the reduction in customer acquisition cost from $150 to $125 with the new brand strategy.

Note: You only need to make changes to row 37 downwards of the spreadsheet. No changes are needed above row 37.