Customer Value And Satisfaction

Customer Value:-

Customer value is the difference between the values the customer receives from owning and using a product and the costs of buying the product. People's choice of product is guided by the concept of customer value or utility. Sellers sell different types of values attached with the product. For instance, a beauty saloon catering to women sells youth, attractiveness and confidence values to its customers.

Satisfaction:-

Customer satisfaction depends on the product's performance in delivering value as per the customer's expectation. If the product performs less than the customer's expectation, the buyer is dissatisfied; if it matches the expected performance, the buyer is satisfied. If the performance exceeds expectation, the buyer is delighted and highly satisfied. Satisfied customers become brand loyal and also tell the people about their good experience with the product performance with customer expectations. Many successful companies like to delight customers by providing more performance (values) than expectations.