Relationship Marketing

Chapter2

Creating value for the organisation

INTRODUCTION

The value-creation process consists of the three key elements shown in Figure 2.1 – determining what value the company can provide to its customers (the ‘value customer receives’); determining the value the organisation receives from its customers (the ‘value organisation receives’); and, by successfully managing this value exchange, maximising the lifetime value of desirable customer segments. Chapter 1 considered customer value from the perspective of how to create and deliver value to customers. This chapter examines the value-creation process in terms of creating value for the organisation. ...