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Endnotes E9 29. For an empirical comparison of different methods to measure customer satisfaction, see Neil A. Morgan and Lopo Leotto Rego, “The Value of Different Customer Satisfaction and Loyalty Metrics in Predicting Business Performance,” Marketing Science 25 September–October 2006, pp. 426–39. 30. Frederick K. Reichheld, “The One Number You Need to Grow,” Harvard Business Review, December 2003, pp. 46–54. 31. James C. Ward and Amy L. Ostrom, “Complaining to the Masses: The Role of Protest Framing in Customer- Created Complaint Sites,” Journal of Consumer Research 33 September 2006, pp. 220–30; Kim Hart, “Angry Customers Use Web to Shame Firms,” Washington Post, July 5, 2006. 32. Eugene W. Anderson and Claes Fornell, “Foundations of the American Customer Satisfaction Index,” Total Quality Management 11 September 2000, pp. S869–82; Claes Fornell, Michael D. Johnson, Eugene W. Anderson, Jaaesung Cha, and Barbara Everitt Bryant, “The American Customer Satisfaction Index: Nature, Purpose, and Findings,” Journal of Marketing 60 October 1996, pp. 7–18. 33. Technical Assistance Research Programs Tarp, U.S. Office of Consumer Affairs Study on Complaint Handling in America, 1986. 34. Stephen S. Tax and Stephen W. Brown, “Recovering and Learning from Service Failure,” Sloan Management Review 40 Fall 1998, pp. 75–88; Ruth Bolton and Tina M. Bronkhorst, “The Relationship between Customer Complaints to the Firm and Subsequent Exit Behavior,” Advances in Consumer Research, vol. 22 Provo, UT: Association for Consumer Research, 1995, pp. 94–100; Roland T. Rust, Bala Subramanian, and Mark Wells, “Making Complaints a Management Tool,” Marketing Management 1 March 1992, pp. 40–45; Karl Albrecht and Ron Zemke, Service America Homewood, IL: Dow Jones–Irwin, 1985, pp. 6–7. 35. Christian Homburg and Andreas Fürst, “How Organizational Complaint Handling Drives Customer Loyalty: An Analysis of the Mechanistic and the Organic Approach,” Journal of Marketing 69 July 2005, pp. 95–114. 36. Philip Kotler, Kotler on Marketing New York: Free Press, 1999, pp. 21–22. 37. “Basic Concepts,” ASQ, www.asq.orgglossaryq.html, January 16, 2010. 38. Robert D. Buzzell and Bradley T. Gale, “Quality Is King,” The PIMS Principles: Linking Strategy to Performance New York: Free Press, 1987, pp. 103–34. PIMS stands for Profit Impact of Market Strategy. 39. Brian Hindo, “Satisfaction Not Guaranteed,” BusinessWeek, June 19, 2006, pp. 32–36. 40. Jena McGregor, “Putting Home Depot’s House in Order,” BusinessWeek, May 14, 2009; “Home Depot CEO,” Sorry We Let You Down,” MSN Money, www.moneycentral.msn.com, March 13, 2007. 41. Lerzan Aksoy, Timothy L. Keiningham, and Terry G. Vavra, “Nearly Everything You Know about Loyalty Is Wrong,” Marketing News, October 1, 2005, pp. 20–21; Timothy L. Keiningham, Terry G. Vavra, Lerzan Aksoy, and Henri Wallard, Loyalty Myths Hoboken, NJ: John Wiley Sons, 2005. 42. Werner J. Reinartz and V. Kumar, “The Impact of Customer Relationship Characteristics on Profitable Lifetime Duration,” Journal of Marketing 67 January 2003, pp. 77–99; Werner J. Reinartz and V. Kumar, “On the Profitability of Long-Life Customers in a Noncontractual Setting: An Empirical Investigation and Implications for Marketing,” Journal of Marketing 64 October 2000, pp. 17–35. 43. Rakesh Niraj, Mahendra Gupta, and Chakravarthi Narasimhan, “Customer Profitability in a Supply Chain,” Journal of Marketing 65 July 2001, pp. 1–16. 44. Thomas M. Petro, “Profitability: The Fifth ‘P’ of Marketing,” Bank Marketing, September 1990, pp. 48–52; “Who Are Your Best Customers?” Bank Marketing, October 1990, pp. 48–52. 45. “Easier Than ABC,” Economist, October 25, 2003, p. 56; Robert S. Kaplan and Steven R. Anderson, Time-Driven Activity Based Costing Boston MA: Harvard Business School Press, 2007; “Activity-Based Accounting” Economist, June 29, 2009. 46. V. Kumar, “Customer Lifetime Value,” Rajiv Grover and Marco Vriens, eds., Handbook of Marketing Research Thousand Oaks, CA: Sage Publications, 2006, pp. 602–27; Sunil Gupta, Donald R. Lehmann, and Jennifer Ames Stuart, “Valuing Customers,” Journal of Marketing Research 61 February 2004, pp. 7–18; Rajkumar Venkatesan and V. Kumar, “A Customer Lifetime Value Framework for Customer Selection and Resource Allocation Strategy,” Journal of Marketing 68 October 2004, pp. 106–25. 47. V. Kumar, “Profitable Relationships,” Marketing Research 18 Fall 2006, pp. 41–46. 48. For some recent analysis and discussion, see Michael Haenlein, Andreas M. Kaplan, and Detlef Schoder, “Valuing the Real Option of Abandoning Unprofitable Customers when Calculating Customer Lifetime Value,” Journal of Marketing 70 July 2006, pp. 5–20; Teck-Hua Ho, Young-Hoon Park, and Yong-Pin Zhou, “Incorporating Satisfaction into Customer Value Analysis: Optimal Investment in Lifetime Value,” Marketing Science 25 May–June 2006, pp. 260–77; and Peter S. Fader, Bruce G. S. Hardie, and Ka Lok Lee, “RFM and CLV: Using Iso-Value Curves for Customer Base Analysis,” Journal of Marketing Research 62 November 2005, pp. 415–30; V. Kumar, Rajkumar Venkatesan, Tim Bohling, and Denise Beckmann, “The Power of CLV: Managing Customer Lifetime Value at IBM,” Marketing Science 27 2008, pp. 585–99. 49. Nicole E. Coviello, Roderick J. Brodie, Peter J. Danaher, and Wesley J. Johnston, “How Firms Relate to Their Markets: An Empirical Examination of Contemporary Marketing Practices,” Journal of