Competition today is increasingly fierce. Increasing cost of materials, increasing costs of labor and increasing costs of distribution are putting more pressure on profit margins than ever before. Delivering customer value while making a healthy, sustainable profit has never been harder. But there are disciplines and tools available that help companies do just that. First things first; what exactly is customer value? We must ask the customer because it’s their view – and only their view – that matters here. Research shows some common components of customer value, regardless of the industry. Customers say a big portion of customer value is doing what you said you’d do, when and how you said you would do it. Keeping your commitments or being reliable is the core underpinning of customer value whether you’re delivering a product or service or a combination of both.
