The underlying goal for any company operating in any sector is to create value for its customers by understanding them, their problems, challenges, opportunities and then confronting them. The problems which the customers face manifest the customer in many ways (Peter, Olson & Grunert, 1999). The problem is a gap between what customer is experiencing and what actually the customer expects. This gap serves as an opportunity for the company to create value for its customers. Talking about the price of the product, it is an issue to a certain extent but creating value for the customer often insulates the customer from the price pressures (Berger & Nasr, 1998).
The company understands that the customer value is created by first knowing the customer. The company needs to get inside the head of the customer to have a good understanding of their version of value. It is very important for the company to understand that the definition of value is different for different customers. Also when the company thinks of getting inside the head of the customers, this means that the company has to build strong relationship with the customer.
The company should also work on steps which would help in communicating the value to the customers. This can be done through solution based selling. These steps are:
– The company should promise the customer that their product or the service would help the customer in some or the other way (Christopher, Payne &Ballantyne, 1991).
– The company needs to back its promises by putting forward some facts and figures which would instill confidence in the minds of the customer.
– Communicate the value to the customer in such a way that the customer is able to picture the ways in which the product would help them to solve their problems.
– Communicate the personal value as well. For example in case of Bulla Dairy foods, the customer has an option to resort to a healthier version of dairy products.