Improving customer value continuously is difficult in almost any organization. That's true partly because so many organizations are still organized around functional silos, which are managed to optimize their own performance rather than to deliver value to customers. Value based management is provided the top priority and hence customers who are whole and sole for business to thrive in the market, providing them with value and nurturing their value in business is important and relevant today. The challenge in Customer Value Management is to identify programs that have a high likelihood of improving customer-perceived value at a reasonable cost.
What can be done to provide value to customers?
One can conduct programs to make products more reliable, add features that customers will truly value, improve design for esthetics and for usability.
Improvement in the ability to deliver on time, deliver on demand, provide responsive troubleshooting and service, improve customers’ operations, streamline ordering, billing, and other transactions, provide information to help customers use your product effectively, strengthen customer relationships.
One can frame programs to simplify work as well as to improve conformance quality
Providing the Front-line employees access to information and levers they need to serve the customer.
By correcting misperceptions about the product and its features
Reinforce your comparative strengths, change the way customers evaluate their purchase decision, build affinity for your brand.
You can also have market segments that possess unique needs and develop products that are specifically meant for that niche, fulfilling their needs as well targeting and identifying unique sect of customers.
The Customer Value discipline helps you identify the big-impact projects and align the organization behind their successful implementation.
Retain them for longer
Increase the price of the product or service
Increase how often they purchase from you
Increase the referrals you get from them.
Getting answers to the following questions will provide you with the basic idea of how to provide maximum satisfaction to customers:
Who are your key customers?
How connected are you to your customers?
What do your customers really want?
Do you treat your internal and external customers differently?
How do you measure customer satisfaction?
What steps can I take to improve my customer satisfaction system?
How can Great Systems help you improve your customer satisfaction system?
Would you like to learn more about operational and process excellence tools and concepts?
Customer Lifetime Value = Customer Value – Cost (acquisition, retention, service)
In marketing, customer lifetime value (CLV), lifetime customer value (LCV), or lifetime value (LTV) is the net present value of the cash flows attributed to the relationship with a customer. The use of customer lifetime value as a marketing metric tends to place greater emphasis on customer service and long-term customer satisfaction, rather than on maximizing short-term sales. CLV is inherently a long-term metric — it recognizes both immediate and longer term revenue adjusted for customer attrition and the time value of money. The biggest question facing use of CLV is how to gain buy-in in a world where meeting the numbers this quarter and this year are challenging. Customer satisfaction is defined as the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services exceeds specified satisfaction goals. Gone are the days when consumers used to buy from another place just because they got the same product at lesser cost. Today even consumers value the value provided by business over the years, this definitely enhances the consumer loyalty and the business no longer needs to set up a separate loyalty program.
What can be done to provide value to customers?
One can conduct programs to make products more reliable, add features that customers will truly value, improve design for esthetics and for usability.
Improvement in the ability to deliver on time, deliver on demand, provide responsive troubleshooting and service, improve customers’ operations, streamline ordering, billing, and other transactions, provide information to help customers use your product effectively, strengthen customer relationships.
One can frame programs to simplify work as well as to improve conformance quality
Providing the Front-line employees access to information and levers they need to serve the customer.
By correcting misperceptions about the product and its features
Reinforce your comparative strengths, change the way customers evaluate their purchase decision, build affinity for your brand.
You can also have market segments that possess unique needs and develop products that are specifically meant for that niche, fulfilling their needs as well targeting and identifying unique sect of customers.
The Customer Value discipline helps you identify the big-impact projects and align the organization behind their successful implementation.
Retain them for longer
Increase the price of the product or service
Increase how often they purchase from you
Increase the referrals you get from them.
Getting answers to the following questions will provide you with the basic idea of how to provide maximum satisfaction to customers:
Who are your key customers?
How connected are you to your customers?
What do your customers really want?
Do you treat your internal and external customers differently?
How do you measure customer satisfaction?
What steps can I take to improve my customer satisfaction system?
How can Great Systems help you improve your customer satisfaction system?
Would you like to learn more about operational and process excellence tools and concepts?
Customer Lifetime Value = Customer Value – Cost (acquisition, retention, service)
In marketing, customer lifetime value (CLV), lifetime customer value (LCV), or lifetime value (LTV) is the net present value of the cash flows attributed to the relationship with a customer. The use of customer lifetime value as a marketing metric tends to place greater emphasis on customer service and long-term customer satisfaction, rather than on maximizing short-term sales. CLV is inherently a long-term metric — it recognizes both immediate and longer term revenue adjusted for customer attrition and the time value of money. The biggest question facing use of CLV is how to gain buy-in in a world where meeting the numbers this quarter and this year are challenging. Customer satisfaction is defined as the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services exceeds specified satisfaction goals. Gone are the days when consumers used to buy from another place just because they got the same product at lesser cost. Today even consumers value the value provided by business over the years, this definitely enhances the consumer loyalty and the business no longer needs to set up a separate loyalty program.