Customer Value Creation
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The concept customer value has many meanings (Woodall 2003), but, from a marketing theory, two dominate: customer value refers to customers’ perceptions of what they receive and in return for what they sacrifice (Zeithaml 1988). The creation of customer value has long been recognized as a central concept in marketing (Woodruff 1997) and the fundamental basis for all marketing activity (Holbrook 1994). There are two aspects to customer value: desired value and perceived value (Woodruff 1997). Desired value refers to what a customer desires in a product or service. Perceived value is the benefit a customer believes he or she received from a product after it was purchased.
Anderson et al. (1997) define three kinds of customer value propositions: all benefits, favorable points of difference, and resonating focus. “All benefits” value propositions are based simply on listing the positive features and outcomes of buying and using the product or service.
A Customer Value Creation...
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