SDUIS Marketing Actual Value and Potential Value Questions

1-Question:  How often should actual value be calculated?  Potential value?  Why?

Main response – should be at least 150 words

2-Question: Why has more progress been made on customer value differentiation than on customer needs differentiation?

Main response – should be at least 150 words

3-What are likely to be the best measures of actual and potential value for each of the following customer bases? How would you confirm that your answer is right? Would the company likely be best served by proxy, financial, or statistical value analysis?  

Choose 5 of the scenarios below to discuss:

• Customers for a B2B electronics components distributor?
  • Customers for a dry cleaner?
  • Customers for an automobile manufacturer? For an automobile dealer?
  • Customers for a chemical supply company?
  • Customers for a munitions firm?
  • Customers for a discount department store?
  • Customers for a large regional supermarket chain?
  • Customers for a long-haul trucking company?
  • Customers for Disney World? Six Flags? Club Med?
  • Customers for CBS? For HBO? (Caution: They’re different. CBS sells viewers to advertisers; HBO sells programming to viewers.)
  • “Customers” for a political campaign? The American Cancer Society? National Public Radio? Habitat for Humanity?

You should build a table similar, to below.  I’ve completed the first one for you as an example.

Actual value/ Potential value

Confirm answer

Proxy, financial, or statistical value analysis?

Customers for a B2B electronics components distributor

Actual value = Lifetime value calculation for individual customers based on historical data

Potential value = Add in upselling and cross selling potential valuations, and total cost of relationship relative to product price

Compare to previous period

Financial.

Customers for an automobile manufacturer

Customers for an automobile dealer

Customers for a chemical supply company

Customers for a munitions firm

Customers for a discount department store

Customers for a large regional supermarket chain

Customers for a long-haul trucking company

Customers for Disney World

Customers for Six Flags

Customers for Club Med

Customers for CBS

Customers for HBO

Customers for a political campaign

Customers for the American Cancer Society

Customers for NPR

Customers for Habitat for Humanity