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About Customer Value Analysis

In This Section
About Customer Value Analysis
Why Customer Value Analysis
Outputs of Customer Value Analysis
Exceptional Features of Customer Value Analysis

 

 

Who We Are

About Customer Value Analysis

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Who We Are | Customer Value Analysis | Platinum Edge Strategy | Expertise | Contact Us | Links

 

Customer Value:
How your customers perceive the quality and price of your product and/or service compared to your competitors.

 

In This Section

About Customer Value Analysis
Why Conduct Customer Value Analysis
Outputs of Customer Value Analysis
Exceptional Features of Customer Value Analysis

 

 

Are You Interested in Becoming the Leading Organisation In Your Target Market?  If so, then you need Customer Value Analysis!!  

 

About Customer Value Analysis

Measuring customer value and competitive standing will provide your organisation with actionable data that serves as indicators of market share performance and which complement customer satisfaction measurement.

 

 

 

 

 

Customer Value Analysis shows how your customers perceive your product/service compared to that of your competitors.

Includes the key premise that customers make decisions to purchase based on the premise of value.
It goes beyond customer satisfaction measurements and surveys.
Measures the components of customer value: market-perceived quality and market-perceived price.
Plots a chart that shows how you compare to your competitors, according to your customer's values.
Gives you a clear simple and practical picture of your position in the marketplace.

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Why Conduct Customer Value Analysis

Customer Value Analysis  is the next generation of customer satisfaction.  It not only looks at the perceptions of your customers, but also examines that of your competitors customers. It provides strategic information on your organisations perceived value in comparison to the perceived value of that of your competitors.  The method identifies key areas of competitive advantage and competitive disadvantage, allowing for focused action plans.

To improve your competitive advantage
Customers may rate you high, yet may rate your competitors even higher. Therefore, you may be losing market share despite favorable indications of customer satisfaction surveys
Results in objective and quantifiable measures that track relative market-perceived quality and associate them to your organisation’s performance and sales processes
Develops internal metrics to drive product/service value attributes
Reveals the importance of price versus other purchase factors

 

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Potential Outputs of Customer Value Analysis

 

Customer Value Model

Value models indicate how well each category of variables, or processes, predicts overall customer satisfaction.  At a more detailed level, they indicate the ability of each attribute within a category to predict overall customer satisfaction.  This predictive power of categories or attributes is referred to as “derived importance”.  Calculating  derived importance can quickly indicate what is truly important to customers.

 

The Importance/Performance Grid

By combining the importance scores from the value model with performance ratings, an Importance/Performance Grid is developed. The Importance/Performance Grid is divided into four quadrants using a square.  Quadrant 1 (in the upper right corner) contains the areas of higher value to customers and higher performance by your organisation.  Quadrant 11 (in the upper left corner) contains the areas of high importance to customers and lower importance by your organisation.  Quadrant 11 (in the lower left corner) contains the areas of lower importance and lower performance.  Quadrant 1V (in the lower right corner) contains the areas of lwer importance and higher performance by your organisation.  The purpose of the Importance/Performance Grid is to give you a visual example of what is important to customers and how your organisation performs within these areas.

 

Cross-tabulations

Cross-tabulations show the relationship between as set of variables.  In particular, the relationship between overall satisfaction and the attributes of value, willingness to recommend and a series of other variables can be measured.  The  cross-tabulations show how satisfaction varies across response categories of other questions.

 

The Market Perceived Overall Satisfaction Profile

The market perceived satisfaction profile is the heart of the customer value analysis. This profile provides you an indication of how well you are performing for customers in your target market. The market perceive satisfaction index is the single most useful indicator of how well you are performing overall for customers in your market.

 
The Customer Value Map

The customer value map is an exceptionally powerful tool.  The Value Map provides a graphic representation of the perceived price and quality position of your organisation and your competitors. It shows how you stand relative to your competitors in your market and who is likely to gain market share and why. This kind of map tells more about a business' future than a one-page financial statement.  

The Comparative Chart of Competitor Analysis

The comparative chart of competitor analysis is a graphic display using gap analysis to show what you in what areas your organisation is  doing well and what areas your  competitor is doing better.   It highlights the gaps between your performance and that of your competitors on certain variables.  This kind of chart is crucial for deciding where you need to improve performance and where you must shift priority on.

   

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Exceptional Features of Customer Value Analysis

Simplicity- Uses simple but advanced analysis tools to establish Customer Satisfaction and Customer Value Indexes.
Accurate and Timely -  making relevant decisions at the right time
Comprehensive measures all key variables considered important when assessing satisfaction and value.
Affordable one of the cheapest and most powerful investments your Organisation can ever make.
Flexible - Can be constructed according to a variety of demographic parameters
Benchmarks key customer retention factors
Versatile - Can be easily and quickly reapplied to measure new trends over time. Economical pricing allows for continuous updates and finger on the pulse.
Advanced – Utilises the latest technology to achieve the answers you need in the most cost-effective manner.  

 

“We are keen to take on the challenge for you.  Use Platinum Edge's Customer Value Analysis to put you at the forefront of your industry!

 

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Who We Are | Customer Value Analysis | Platinum Edge Strategy | Expertise | Contact Us | Links

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Copyright © 1999 Platinum Edge Consulting
Last modified: November 16, 1999