Project Goal:
Opportunity Albania is a microfinance established to help Albanian micro and small entrepreneurs in developing their business through provision of credit and basic business consulting. OA provides mainly individual loans, in national and hard currency (US dollar and Euro) to urban and rural micro enterprises (up to US$ 7,000) and small and medium enterprises (up to US$ 25,000), for a maximum duration of 24 months. A small part of the portfolio is allocated through solidarity group lending.

The success of the organization has attracted the interest of six national and international financial institutions that have provided resources for OA’s management. The European Fund for Southeast Europe and Raiffeisen Bank in Albania are considering significant micro-credit programs contracting OA as a partner.

The goal of this project is to develop a robust Customer Lifetime Value model.

Project Scope:
The model will be developed with the help of OA experts and staff.

Brief Description:
Students will work in a team to create the CLV model. Opportunity Albania will provide customer data such as interest rates charged, demographic details, payment schedules, loan amounts and other relevant details. Students will work with OA Head of Marketing and CFO along with other staff members to develop the model. A robust model for the microfinance industry has not yet been developed and this tool will be used by OA to focus marketing and strategic efforts moving forwards.

Team structure:
3-4 Students.

Timeline:
2nd week of October – 1st week of December

Deliverables:
Customer Lifetime Value model for the microfinance industry

Resources:
Mr. Alban Velo, Head of Marketing, OA
Mr. Perlat Sula, CFO, OA