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What is the difference between Customer delivered value, Total customer value, and Total customer cost?

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Question added by Deleted user
Date Posted: 2014/03/27
Divyesh Patel
by Divyesh Patel , Assistant Professional Officer- Treasury , City Of Cape Town

Customer delivered value is the difference between total customer value and total customer cost.

 

Total customer value is the perception of what a customer is getting from a given product or service in comparison to the purchase price. A business can build value for a customer in a variety of ways.

 

Total customer cost is the complete packet or fees a customer expects to pay in the researching, buying, obtaining and maintaining of a given product or service.

Khatim Abbas Seed
by Khatim Abbas Seed , BUSINESS CONSULTANT , Google

Customer Delivered Value = Total Customer Value - Total Customer Cost

 

Total Customer Cost: total cost incurred by customer during the whole purchasing experience (searching, evaluation, buying, using, and disposing)

Total Customer Value: total of all values & benefits a customer gets from the selling company for purchasing a product or service compared to product price (product value, service value, customer service value, price value)

Customer Delivered Value: The final value given to a customer, resulting from purchasing and/or using product or service, by subtracting Total Customer Cost from Total Customer Value.

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