How Is Value defined in marketing?
Benefits – cost = customer value
This customer value is weighed against the customer values assigned for similar products and services that provide a similar benefit. Consumers will typically purchase the item with the highest customer value among all offerings in the marketplace.
What is its relationship to customer satisfaction and loyalty?
Perceived product quality
How much value has the customer derived from the product, the higher this value is the more satisfaction the consumer will get from this product Perceived Service quality
How would the customer rate their experience of buying the product, the higher the service quality, the higher perceived value and satisfaction
These two aspects are crucial to customer satisfaction and value,
Assuming all other factors remain the same (price etc) , if a customer is continually satisfied with both service and product quality, they will continue to purchase said product, they are also more likely to recommend this product to friends, the culmination of this leads to a loyal customer.
How does apple create value for its customers?
Prestige- the apple brand comes with connotations of quality, high price, “Scarcity = value. Have you ever wondered why Apple always seems to run out of products after a new release? Surely the company that revolutionized the smartphone can figure out how many iPhones are expected to sell in their opening weekend—and can handle the logistics required to ensure that their stores won’t run out of stock. You’re right, of course. Apple could easily overstock their stores to ensure that everyone who wants a product can get one. But by deliberately running out of stock, Apple is able to create a perception of scarcity and value” http://www.celebritybrandingagency.com/blog/what-can-apple-teach-us-about-branding.php Apple doesn’t just sell a product they sell a way of life, For example, The ipod Commercials, don’t mention the...
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