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Submission of Kefir Assignment- Today, 09:00.

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CUSTOMER VALUE AND RETENTIONCHAPTER

12

What is important to you, when buying the following products?

Aspects CHIPS CARProduct/Brand

Price

Service/Guarantee

Personnel

Image in general

Advantages

Time

Energy

X

X

X

What is important to you, when buying the following products?

Aspects CHIPS CARProduct/Brand

Price

Service/Guarantee

Personnel

Image in general

Advantages

Time

Energy

XXXXXXX

XX

X

X

What is Customer Perceived Value? (pg. 472)

“Customer perceived value is the customer’s evaluation of the differences between the perceived benefits versus the perceived cost for a specific market

offering”

YOUR MISSION:Create a value

proposition for your target market that they

cannot resist!

Focus on your PRODUCT:packaging, attributes

Focus on SERVICE EXPERIENCE:servicescape

Focus on the BRAND:image,

associations

Focus on the FORMAT/ENVIRONMENT:

location, logistics, distribution

Focus on the CUSTOMER RELATIONSHIP: personal

Interaction

Are the BENEFITS unambiguous, specific and clearly

stated?

Is the TARGET CUSTOMER SEGMENT (or segments)

clearly identified?

Is the value propositio

n CLEAR AND SIMPLE?

Is it clear that the value propositio

n is SUPERIOR for the

target segment

Is there ADEQUATE DEMAND for the value propositio

n?

Is the value propositio

n PRACTICAL & WORTHWHILE, in

light of competitors?

Is the value propositio

n ATTAINABLE AND FEASIBLE ?

(pg. 473)

Value Propositions

Customer Ratings of Competitors

10-28

Identifying POD & POP (pg.474)

Elements that make the supplier’s offering either superior or inferior to the next best alternative.

Elements with essentially the same performance or functionality as those of the next best alternative

Figure12.1 (pg.474)Customer Perceived Value

5-33

Customer Perceived Value (pg. 474)C

ar B

uyer

Car

Buy

erpe

rcei

ved

perc

eive

dVa

lue

Valu

e(C

PV)

(CPV

)

Total Total customercustomer

valuevalue

Total Total customercustomer

costcost

Service Experience

Value

Monetarycost

Imagevalue

Timecost

Energycost

Psychic cost

Peoplevalue

Processvalue

Payment plans, no deposit, Service plans

Online product viewing

and customisa

tion

Online support,

less admin

After-sales

support .7 year

Warranty

Trained Dealers

Service Plans

Image of high

quality at affordable

cost.

Friendly sales staff

Customisation

opportunities.

REDUCE

Product Value

New designsTop of

the range features for a low

cost

ENHANCE

CUSTOMER SATISFACTION

5-40

Raising Customer Expectations

Factors Influencing Customer Satisfaction:

SATISFACTORY EXPERIENCE:

Good service, friendly staff and food is of

good quality and on-time

DELIGHTFUL EXPERIENCEOn-the-house / complementary

offeringsIn-store entertainment

Customer Retention (pg. 483)

Customer retention is the assessment of the amount of loyal customers who make purchases from a store on a regular

basis within a period of time.

How to Retain Customers (pg. 484)

5-58

Formation of Strong Consumer Bonds

Add Social Benefits

Add Structural Bonds

Customization of the product

Cellular Contracts (Structural Bond)

Loyalty Program (Financial Benefits)

(Social Benefits)

Consumer Empowerment- Customisation