Useful Tips

Customer Value and Loyal Customer Support Concept


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- To help you look at your business from a different angle.

- Share with him useful information about industry trends.

- Share ideas, make you think, develop a client.

Customers will want to meet with you more often as they receive something valuable from each meeting. Don't just be a walking leaflet! After all, today we can go to the company's website and instantly get all the information. After talking with you, the client should have a feeling of good time spent. If you graphically depict how the components of a successful corporate sale looked like before, you get the following picture:

Today it looks like this:

What else distinguishes a value-creating presenter from all others? The level of preparation of a selling presentation. Two tools to stand out from the competition:

1) the quality of the first task,

2) personal attitude to the client.

The quality of the first task

The result depends on personal actions and efforts, and not just on the product or company that you represent. If it is difficult for corporate clients to find truly significant differences, potential customers look for hints of them in completely trivial things. It can be a website design or a style of a commercial offer. A man in search of an excuse for a solution to himself is looking for differences with which to justify the decision. The greater the similarities between the two companies operating in an industry where “everyone is the same,” the more important is any difference between the two. And it often depends on him whether you win or lose.

I often find that people tend to minimize the importance of their own presentation skills. The problem with most presentations is that not enough time is devoted to preparation. Presenters justify themselves by constantly making presentations and often speaking to people. But frequent repetition does not mean that you are doing everything right. Maybe you are just fixing bad habits?

Presentation skills and the ability to deliver ideas actually demonstrate to the corporate client the quality of the first task. Customers see you in business for the first time. A sales presentation is one of the points of contact with a potential customer. There are not many such points. Website, telephone conversation, office, booklet, personal meeting, presentation. Just a few points on which it depends on whether you will go to the next stage of communication and whether you will receive an order. What is the most important point? Any of them may be the last or decisive. In the eyes of potential customers, the quality of a sales presentation is a reflection of:

This book is entirely devoted to how to improve only one of the common ground - a selling presentation.

Our ideas about the quality of anything - from outsourcing to wine quality - are often very limited. We do not have time to delve into the details. Many of us judge the quality of wine by the color of the label.

Sales Presentation - Visiting Card of Your Product

From the side it seems that "he bought without looking." But in fact, we rely on visible and tangible hints. Often, potential customers are not able to adequately assess the quality of the product. They are judged by attributes.

We all judge other people, phenomena, products. For corporate clients, as well as for everyone, the emotional factor is very important. Attributes are what you can see or touch. Some hints on how to classify the product or the company itself. As a result, visual symbols are of great importance. Making a decision about choosing a supplier is not always the logic and the search for the optimal price / result ratio.


There is a meeting with a potential client who decides to conduct training for employees. I remembered the phrase of the commercial director, who picked up the handouts for the training: “Well, the textbook is thick - it means the training is good!” As far as one thing is connected with the other, I still don’t understand, but they ordered the training cycle.

Quality attributes - the surface part of the iceberg. The underwater part - genuine quality - often remains invisible to the customer. While improving the product, do not forget to make these changes tangible, so that potential customers could notice them.

I did a little customer survey. I was interested to know if there were situations in their practice when during the presentation they judged the quality of the product only by its attributes. Here are real-world examples of how the attributes of a sales presentation affect the end result.

- We discussed a consulting contract with a budget of about $ 250,000. Each slide of their presentation looked at least $ 10,000. This impressed us.

- They were the only company making a presentation on the team. Moreover, the role of one person consisted only in writing down our questions and comments.

- We chose between two consulting companies. It was noticeable that some during the presentation improvised in the spirit of “and so will do.” Others carefully rehearsed everything until the word was passed to each other.

- He was the only one who brought pre-cut leaflets for presentation, and did not tear sheets of paper right before our eyes.

We judge the invisible by visible form. Consciously or intuitively, corporate customers, when making decisions about the choice of a supplier, seek visual evidence of quality. What can be seen or touched.


Once I lost a tender for training for one company. After a while, I found out the reason I lost: my competitors came to the presentation with their whiteboard and felt-tip pens.

And the client liked it for some reason more than my projector.

Do not offer the customer only product quality. A sales presentation in itself is a clear testament to the quality of the company and the product. Especially if the product is exclusively a service. The client cannot touch, smell or taste it. The service is invisible, it is only a promise that you will do a certain job. What other signs do potential customers judge about the quality of the service?

Date Added: 2014-11-20, Views: 386, Copyright Infringement? ,

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Customer Value in Economic Theory: A Brief Historical Background

In the economy, one of the key has always been the concept of consumer value, which is determined by how much the product satisfies the corresponding need. At the same time, the willingness of buyers to pay one price or another for a product, the quantity of which is limited, is expressed in its exchange value. In the future, this approach only strengthened, and now consumer value is understood as the ratio of the benefits that a product brings to a person to the price that must be paid for it.

However, it is incorrect to consider value from this point of view when it comes to customer value. Although a company or organization is the actor in a commodity-money relationship, it is not possible to single out a specific, single motive for its activity. Each company has individuals and groups whose interests can vary greatly. This means that these people and groups will evaluate the importance of each client in different ways. It turns out that it is impossible to determine exactly what value a particular buyer has for a company: representatives of the organization will judge its usefulness from each point of view.

However, such an assessment, despite its subjectivity, cannot be considered unfounded. Each employee will have their own customer value indicators, objectively justified by what goals they are striving for.

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Nevertheless, objectively determining the value of a client for an organization is possible only with the help of external checks. This allows you to compare individual indicators of customer value and ultimately arrive at a reliable result.

The value received by the client and its main components

Within the framework of marketing theory, there is an opportunity for both sellers and customers to evaluate both themselves and the other side of the interaction. The main criterion in this case is the result of cooperation, to which the evaluator seeks. These results are chosen by people on their own, or in the process of managing an enterprise by making certain decisions.

For the successful operation of organizations in the market, orientation to the norms and values ​​of the client is important. Customers notice that in their work the seller is guided by their needs and desires, and such behavior has a certain value for them.

Obviously, of all the firms working in the same field, the buyer is trying to choose the one with which relations will be most beneficial for him. What exactly the client understands as a benefit depends on the requirements that he makes for the purchased product or service, as well as on the estimated costs. Making a purchase decision is based on comparing the value of the service for the client with the price that you have to pay for it.

We must not forget about the existence of transaction costs, which allow you to evaluate individually the benefits of the goods and the benefits of the transaction. The value of a product is determined by its ability to satisfy human needs throughout the entire period of use. Also, when determining the value of a product, one can take into account the secondary benefit that occurs if the organization provides additional services to the client after the purchase.

If we talk about the benefits of the transaction, not only the economic, but also the psychological and social benefits that can be obtained from establishing relationships with the seller play an important role.

We can talk about psychological benefits in situations where the quality of the product meets or exceeds customer expectations. This becomes one of the main reasons why a person comes to the same seller again. Repeated deals contribute to customer satisfaction and help build trust with the company. This is important because when you first get to know the organization, customers have no reason to trust it.

Economic benefits are understood as various aspects of interaction related primarily to money (lower cost of goods, discounts, etc.). However, economic benefits can be expressed not only in monetary form: there are several other important components in it, in particular, temporary and informational benefits. In addition, we must not forget that often in the process of cooperation the client shares with the seller knowledge related to the product or its production. As a result, it becomes possible to create a product with desired characteristics that best suits the needs of a particular person. It should be noted that at the same time the value of the product for the client increases. Also, interaction with the seller on an ongoing basis allows us to simplify and speed up the decision-making process on the purchase and the transaction process itself.

The value of products and services for customers can be matched by social benefits. This refers to the situation when the seller actively interacts with the buyer, causing him a sense of self-worth. For many people, the feeling that they are recognized and appreciated is an important factor in matters of economic interaction.

Sellers try to satisfy the needs of customers and benefit them so that they invest their funds in their relationship. It is, first of all, about the price of the goods that the customer pays for the purchase. However, in addition to the cost of the product itself, additional costs may arise that accompany the transaction. Another name for such costs is transaction costs. This can include several basic types of costs associated with: finding a seller, establishing certain relations with him, business negotiations, making decisions on the purchase of goods, concluding contracts, as well as controlling the correctness of the transaction process.

The level of transaction costs varies at different stages of cooperation and depending on its duration. Therefore, it is not always possible to unambiguously single out specific cost items within these costs.

From the foregoing, it can be concluded that for customers, relations with sellers are equally related to both benefits and costs. And it is clear the desire of the buyer to such relationships in which the value of the purchased goods and services would be evaluated higher than their real value. Otherwise, if the costs seem excessive given the usefulness of the product, we can say that the seller’s value is negative.

Customer value in marketing and its role in building a business

The resources of sellers are not infinite, therefore they strive first of all to establish contact with the most valuable customers who are able to provide them with the greatest profit. To do this, in the framework of marketing activities, measures are taken to determine the value of customers and stimulate demand from the most significant. In relationship marketing, customer value is one of the most important categories, because it allows you to select a group of buyers with the greatest investment attractiveness and plan future activities based on these data.

When working with clients, the value of each of them plays an important role. Sellers are interested in making their investment in customer relationships pay off, so it is important for them to understand how valuable one or another of them is.

Relations with customers, in addition to the obvious benefits, can bring sellers losses as well if customers stop shopping from them and give preference to competitors. When this happens, the company loses one of the channels for selling the product and loses feedback, that is, important information about the consumer properties of its products, which can become a serious obstacle to the further development of the company. This suggests that the customer value category determines the importance of the buyer, not only at a particular moment, but also in the future.

This means that in the framework of entrepreneurial activity two categories coexist: customer value and customer value. For a business to develop successfully, it is necessary, firstly, to know the needs of customers and find ways to satisfy them, and secondly, to be able to evaluate and correctly use customer value in planning. These two goals seem to be key for entrepreneurs, and should be considered together. The best result can be achieved by coordinating these goals with each other and with the specifics of the company. For this, the seller must formulate his goals and determine the results to which he is striving, as well as find out the expectations of customers regarding their interaction.

Most often, the results associated with the value of the relationship with the seller for the buyer are:

  • the purchase of a product whose quality meets or exceeds the stated requirements,
  • the formation of stable relationships based on trust,
  • work on creating a positive image of the company.

Among the priorities of any company is the formation of prerequisites for effective customer relationships. Such prerequisites can be brand awareness and good image, high quality of goods sold and services rendered, product competitiveness, and, of course, positive interaction with customers. All this helps to ensure that customers whose needs have been met return to the seller. So there are regular customers who are of particular value to companies because of the large volume of purchases made. The client’s value is also connected with the fact that other potential buyers can get acquainted with his positive experience (for example, through reviews), which may affect their decision.

Also, the client himself, quite satisfied with the previous experience in relations with the company, will be more willing to purchase other goods and new products from her - this is called the value of promising sales. В итоге мы видим прямую связь между двумя явлениями: обеспечением высокой потребительской ценности продукта и формированием высокой ценности клиента.

Однако в реальной жизни не всегда имеет место именно такая зависимость. Иногда потребитель продолжает обращаться в компанию, несмотря на то что его ожидания удовлетворяются не в полной мере. Repeated purchases are possible even when the client negatively evaluates the product and the relationship with the company as a whole. Usually this happens in narrow areas where it is difficult to find an alternative to a specific product and manufacturer. Also, sellers can specifically create barriers that prevent customers from simply leaving to competitors. In some cases, there are no objective obstacles, but the buyer still continues to contact the same company simply because he does not want to change the usual course of things. And this is only part of the factors that influence the formation of customer value.

Nevertheless, the marketing of relationships as the main goal is to ensure a high level of customer satisfaction, which is the main reason for increasing their value. To achieve this, the company must consistently sell high-quality goods and services, striving to understand and fulfill the desires of consumers. In this case, customers will be willing to enter into transactions with this company, which will provide the necessary investments for the business.

Create value

To create a truly useful product, you need to answer questions about the client's value system:

  • What problem does he want to solve with the help of your product?
  • What is the result of the relationship he seeks?
  • what problems is it important for him to cope with?

Knowing the basic information, you can effectively work on creating customer value. You must clearly understand what tasks your client is facing, what kind of actions he will like or push away, what risks he wants to avoid when making a deal.

Based on these data, a product is developed that best helps in solving customer problems and relieves him of the feeling of discomfort associated with an unmet need.

Assess not competitors, but customer needs

Typically, marketers consider only companies that produce similar products as competitors. As a result, most firms strive to maintain and increase their own share in a particular market, and all efforts are directed towards fighting direct competitors. Meanwhile, in reality, the competitive field is not limited to first-level competitors. The most serious confrontation occurs at the second level, between companies that produce different goods, but satisfy the same need.

For example, cornflakes and instant cereals compete with each other, because consumers use both as a quick breakfast. But we must not forget that for breakfast you can also eat a sandwich, fried eggs or yogurt - these will be the competitors of the second level.

If we talk about the third level of competition, here are companies that focus on other needs. Often this level is not considered at all. But in vain, because the rivalry here is very serious and large-scale.

Therefore, the marketer must know exactly what values ​​for the client are fundamental at the moment, what needs are most relevant and how they are changing. This is the only way to keep customers and ensure the existence of a business as such.

How to provide the highest value of goods? To do this, innovations are needed to ensure that the product meets the customer's need faster, cheaper and (or) easier than before.

Top 5 articles that will be useful to each leader:

What is the difference between innovation and improvement? Innovation refers to large-scale, global changes that customers cannot fail to notice. Improvements, in turn, are usually insignificant, and the costs of their implementation are disproportionately greater than the benefits that the client receives. For example, an improvement can be called a reduction in the waiting time for an operator's response by a few seconds. Such changes are necessary to stay afloat in the competition, but this is not something that can really surprise customers. To do this, we need innovations due to which the product acquires great utility, which maintains consumer interest.

There are several basic innovative schemes:

  • The product is designed to solve the same problem, but it works much more efficiently.

An example is 3G technology. Before its appearance, people could go online, but 3G made access more stable and faster.

  • The product acquires new features compared to earlier counterparts. For example, a smartphone, as a more modern version of the phone, in addition to the function of calling and sending sms, can perform many other tasks: with it you can take photos and videos, go online, play, pay for purchases and much more.
  • The product gives “non-consumers” the opportunity to perform those tasks that were previously available only to a narrow circle of customers (it can be not only people).

How does this happen? Typically, such innovations are associated with the removal of familiar restrictions. Not so long ago, only specially trained people who devoted their whole life to this could fly into space. Now it is possible to send ordinary people into space, the so-called space tourists. Another example is a portable blood glucose meter. This invention has made life easier for people who need to control their blood sugar. Now they don’t need to constantly go to the clinic and take tests, because the result can be found at home in just a minute.

  • The product is intended for new customers and performs new tasks.

A striking example is modern software and applications for smartphones.

Create new opportunities and remove restrictions

Accordingly, there are three possibilities to create a new value for the client:

  • a result that is not completely satisfying the customer,
  • the presence of tasks that the consumer can not perform,
  • market restrictions.

Often, the removal of restrictions allows a real revolution in the industry. So, already familiar smartphones with good cameras, along with mobile photo processing programs, allowed everyone to take high-quality photos. Another example is a battery-powered refrigerator, a unique product that can be used in the absence of electricity.

Innovation may also be related to the quality of service. For example, Metro Bank, opened in 2010, won great love among consumers at a difficult time for financial institutions. He has a very loud motto: "A bank that you will finally love." And, most importantly, the bank meets the expectations of its customers. An additional value in his work was the opportunity to use the services at any convenient time. Metro Bank closes for only 3 days a year, and the rest of the time it works from 8:00 to 20:00. This is a significant advantage, given the inconvenient schedule of most banks.

In addition to practical value, the new bank also created emotional value. Everyone who has ever been to a bank will probably remember the pens attached to the counter. At Metro Bank, pens are not tied and even emphasize this fact in advertising slogans.

Another creative decision of the creators of Metro Bank is permission to enter the premises of the bank with dogs. This fact seems important, because in London, where it opened, there really are a lot of dog breeders. You can list for a long time what values ​​for the client were created in this institution: convenient online banking, drive-thru branches, etc.

What other features can I use? For example, if there is a market oversaturation, you can play with the product’s functionality: remove features that are not needed by a certain group of customers, and add new ones.

When there are really a lot of offers, you need to look for ways to accomplish the same task at a lower cost. In America, for a long time, the leader in the movie and game rental market was the Blockbuster store, the interaction with which was not simple: for customers there was a minimum rental period and a complex loyalty system. The company had to constantly buy new discs, as they were in greatest demand. The payback period was high (6-8 views).

It is amazing how easily the small company Redbox handled such a giant, the creators of which approached the task in a non-standard way. They did not rent large areas, did not hire employees and did not establish complex rules. Redbox simply put convenient terminals with drives near large supermarkets, in places with high traffic. The film could be rented for a period of one day.

Blockbuster tried to copy the idea of ​​competitors and install similar terminals, only changing their design, but the initiative did not bring success. In addition, Netflix has done even more to simplify “oversaturated” markets and remove restrictions.

Develop design thinking

Customer value can create a breakthrough product. Carnegie Mellon University professor Jonathan Cagan introduced a definition according to which a breakthrough product has a high level of design and technology. The importance of such a product for the development of the company is that it retains high consumer value for a long time.

When creating a breakthrough product, the so-called design thinking is necessary - a method that allows you to find creative ideas for the production of goods and doing business in a mass of ordinary things.

For a breakthrough product to be truly in demand, manufacturers must focus on customers, put themselves in their place. Understanding the needs and desires of the audience, the company can offer a product that will satisfy them in the best way. Accordingly, the demand for such a product will be high, which will contribute to the formation of customer value.

How to create value for the client using the email newsletter: 7 key ways

Serious companies aimed at long-term and productive cooperation with customers are always looking for ways to establish trusting relationships with the audience. And here values ​​come to the rescue, not limited only by the quality of goods and services. In addition, the company can offer customers a polite attitude, a sense of confidence and reliability, positive emotions that together form the impression of interaction. There are several methods that can help you convey value to your customers via email.

Motivational programs

There are three popular varieties of motivational programs:

  • discounts related to the date and season, or tied to the purchase amount,
  • Special offers,
  • demo access.

The effectiveness of demo access is confirmed by the fact that about 20 percent of customers after a trial period purchase paid accounts.

Loyalty programs

Such programs are one way to thank customers for choosing you. A small bonus is usually offered as a thank you.

For example, Starbucks has a Starbucks Rewards loyalty program. Its participants are all those who make purchases through the application. Points are credited to the customer’s account, which can later be used for payment.

Below you can see the Starbucks promotional mailing list, which suggests accumulating points for purchases.

Share knowledge

Really great value in our time is information. And companies can strengthen their image if they share their knowledge with customers.

Part of the newsletter may include:

  • invitations to online courses,
  • invitations to forums on your topic,
  • links to useful blog material,
  • different ways and suggestions for using your product.

In the newsletter of the company producing eco-products, articles often appear on the useful properties of a particular product and how it can be prepared.

Service quality

Undoubtedly, good service is of great value to the client. This is proved by a consumer survey conducted by Statista: among the factors that can influence the opinion of customers about the company, the level of service takes an honorable third place.

How to demonstrate your service through the mailing list? There are several methods:

  • Offer to solve the problem.

For example, before the New Year, the opportunity to pack the order beautifully will be very relevant. So you make it easier for your customers: if they want to buy something as a gift, they will not need to think about holiday packaging.

  • Be interested in the opinion after the purchase.

Feedback is very important for a business, on the basis of which you can improve your products and create new values ​​for customers. Moreover, the interest on the part of the company is important for consumers in itself. Ask them to evaluate the quality of service, indicate possible problems - and you will receive useful information, and customers will appreciate your desire for development.

  • Express gratitude and give gifts.

How to show clients that they are of value to you and you hope for a long, fruitful cooperation? Give thanks and reinforce the words of gratitude with pleasant gifts.

No need to spare money on small presentations for customers - this is your investment in building customer value. See how the Thrive Market does it.

Organize contests

The competition requires the sharing of newsletters and social networks.

SmileExpo, a company that organizes exhibitions and promotional events, uses the standard competition reporting scheme. First, everyone who is subscribed to the newsletter receives a letter with the terms of the competition and information about the prize (free ticket to the exhibition). The letter contains a link to a page on Facebook, where the contest is held.

The subscriber must do the following:

  1. Click on the link to appear on the contest page. To do this, the letter should have a clear indication of the action: "Participate in the draw", "Apply for the competition", "Go to the competition page", etc.
  2. Make a repost of the contest.
  3. Go to the company’s website and choose the exhibition that he would like to visit.
  4. Write the name of this exhibition in the comments.

This scheme is applicable in almost all areas of business. Here we can talk about a combination of material value for the client and intangible, associated with receiving positive emotions.

LTV (Lifetime Value, or Customer Value)

Using this indicator, the client’s significance is assessed: it depends on how much money the buyer spends on average to purchase the goods of the company for a certain period of time.

One of the first to count LTV were mobile operators. And this is understandable: when cellular communication became commonplace, and the market was filled with competitors, it became very expensive to attract customers. To optimize this process, it was necessary to discover the least profitable channels and build an effective distribution model.

Because of this, many startups cannot develop: much more effort and money is spent on attracting clients than on monetization.

This is a mistake made by many novice businessmen: they are constantly working to attract an audience and improve the product, but they forget about the need to build customer value by building relationships with them. As a result, spending on attracting one client does not pay off with the funds that come from him.

Why is it necessary to calculate LTV?

  1. You will be able to purposefully move to success by betting on those channels that bring the most valuable customers.
  2. Information on the effectiveness of the various channels will help to properly allocate the budget based on needs.
  3. It will be possible to evaluate the value of different groups of customers in the long run.
  4. You will be able to evaluate the points of savings, as well as to understand how much money you can spend on activities to attract and retain consumers (for example, through remarketing, email newsletters or promotion in social networks).

There are several formulas for determining customer value, designed for use in different situations. In general, the formula looks like this:

LTV = S x C x P x twhere

S is the average check size among all customers,

C is the average number of purchases per month,

P - profitability as a percentage of the amount of the check,

t - average time of cooperation (how many months customers make purchases / number of these customers).

It is worth tracking the dynamics of customer value by comparing the value of this indicator in different periods. You can also look at what level your competitors have LTV or study research on your market segment.

High customer value is a sign that he can purchase from you more goods of various types, as well as participate in its promotion. We can say that work on LTV contributes to the emergence of regular customers who will recommend your company to all your friends.

For example, visitors to a fitness club for three years monthly pay $ 20 per visit:

$ 20 × 12 months x 3 years = $ 720 in total revenue (or $ 240 per year).

This formula can be taken as a basis in your research. But do not be sure that most customers will attend a fitness club for three years. To clarify your forecasts, try to break customers into several groups. For example, such segmentation may take place:

  • go to group classes and do it individually
  • attend additional classes,
  • приобретают витамины и протеиновые добавки,
  • покупают спортивную одежду, снаряжение, напитки.

Проанализируйте эту информацию, чтобы определить, кто чаще покидает центр, а кто посещает его долгое время.

Определив ценность клиентов каждой из этих групп, вы обнаружите разницу между стоимостью их привлечения и получаемой прибылью. In the future, you will be able to consciously invest in the acquisition of certain types of customers.

Customer value management can be done as follows:

  • clearly indicate your target audience and strive to interact only with it. The stage of the sales funnel “Lead Qualification” helps well in this,
  • develop an understandable and useful loyalty program for regular customers,
  • Choose sales channels based on your audience,
  • stimulate consumer actions with gifts,
  • create free useful content and exchange it for reposts on social networks

    Why is it important to create value for the customer?

    In order to gain the trust and love of customers, you need to create a strong connection between the brand and the target audience. This is possible if the brand has certain values. Values ​​mean not only the quality of services and functionality, but something more - ethics, a sense of confidence and reliability, positive emotions that bring satisfaction from interaction. So, what methods are suitable to bring value to the client in the email list?

    Conduct polls

    The questionnaires help to understand what the client thinks of you, so in your hands there is an opportunity to establish communication with the client, for example, to thank him for sharing his positive experience or to help if the client had some difficulties.

    Use expert advice

    Expert opinion, as a marketing influence tactic, has become a popular way to promote a product. We previously wrote about this in our article “What is influence marketing and how to implement it in the email newsletter”.

    Why is it effective and popular? Just because we often make buying decisions influenced by the opinions and recommendations of other people: friends, colleagues, but more often - experts and authorities.

    All of the above tactics will help you create a positive image of your brand among potential customers. Do newsletters for your audience that you would love to receive yourself. And create them in SendPulse!