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13. What’s this really worth (to me)?

https://www.udemy.com/course/how-to-profit-from-your-customers/learn/lecture/8414502#overview

Polar Pricing Perception

• Value is in the eye of the beholder

Where does the money go?

Critical spending is important… there is only so much money to spend.

14. Enter the Value Zone

https://www.udemy.com/course/how-to-profit-from-your-customers/learn/lecture/739972#overview

The Customer Value Universe

How the customer perceives value (In Order)

1. Customer Expectations
2. Perceived Quality
3. Perceived Value
   1. Price when given the quality
   2. Quality when given the price
4. Customer Satisfaction
   1. Customer confirms the expectations
   2. Compares to the ideal
5. Result
   1. Customer complaints OR
   2. Customer Loyalty
      1. They are tolerant of the price you are charging.

15. Invasion from Down Under

https://www.udemy.com/course/how-to-profit-from-your-customers/learn/lecture/739984#overview

• The profit from the power of value is Growth
  • Growth is difficult due to competition for a defined market share
• Growth can be regained by creating new demand

Value Innovation = The simultaneous pursuit of Differentiation and Low Cost

Customers will lead you to the Value Zone when you listen to, and observe them.

How to get to the Value Zone

Each of these items is learned by talking to your customers.

• Eliminate
  • Eliminate elements that are sacred to your industry that hold little to no value for your customers
• Reduce
  • Reduce elements that have limited value to your customers
• Raise
  • Raise the elements that help your customers get their jobs done better.
• Create
  • Create features that had not been previously thought of or offered before.

16. Profiting from the Power of Value

https://www.udemy.com/course/how-to-profit-from-your-customers/learn/lecture/739990#overview

Part of the Power of Value is Customer Satisfaction

• You might have the best product at the best price, but if it is hard to do business with you, your value drops.

How do you profit from the Power of Value

• Become the Chief Growth Officer
• Value is much more about the experience you deliver than the price you charge
  • Data research has shown customers are willing to pay more to a company that will listen to them and provide a better experience.
• If a customer does not feel they are getting enough value for the cost, what additional feature would make it worth the price?
• What can you lose that no longer means anything to them?

17. Case study: Hyundai

https://www.udemy.com/course/how-to-profit-from-your-customers/learn/lecture/8480498#overview

• Old school car sales were driven by the dealers to uninformed customers.
• With the advent of the Internet, sites like Cars.com and Carfax.com, customers became informed and in control.
• Hyundai followed a handful of ‘Glamor Moms’ to learn about their life styles to see how they could design a vehicle that would serve their needs.
  • “We got to know what mattered to them to make the vehicle more meaningful to them.“
  • This was not a market research project.
  • This was a living, breathing, actionable insight that met customers in the intersections of their hectic lives.