In this presentation, the importance of customer values for a company are discussed. Also an example in the form of "NORDSTROM" is analysed.

1. What exactly are customer values
and customer relationships?

2. The only value that a
firm can ever create
comes from the
customers.

4. How to satisfy a customer

5. Customer PerceivedValue
The Customer Perceived Value for a product
can be calculated as –
CPV = Benefits - Costs

6. Monitoring Satisfaction
Complaints Surveys

7. Customer Relationship Management
Personalizing marketing
Ensuring that the brand and its marketing are as relevant and possible to as
many customers as possible

8. Customers Clients
Customer Relationship Management

9. Loyalty programs
Club/company membership cards

10. Managing Customer Database
Database Mailing List
Database
Buyer names,
Ages,
Birthdays,
Hobbies,
Interests
etc…

11. NORDSTROM earned fame through
its effective CUSTOMER SERVICES

12. Nordstrom
• Founded by John Nordstrom in
1901
• It was started as a shoe store but
grew into a speciality chain store
selling top quality clothing,
jewellery and perfumes
• In 2009, it has generated revenue
of $8 billion

13. Nordstrom offers exceptional
CUSTOMER SERVICE through…
• Product prices
• Extremely convenient return policy
• Thank you cards
• Facility to shop online
• High standards in quality

14. AND…
Rewards/Incentives
Fashion Shows Live Piano concert

15. NORDSTROM ‘s printed advertisements

16. RISKS AHEAD…
OTHER COMPETITORS
And

17. Focussing disproportionately on high profit customers
might result in discontent among the other customers

19. To maintain BRAND IMAGE and promote customer
BRAND EQUITY...
• The company should give rewards/
incentives to all classes of customers
based on the revenues generated
from each class instead of prioritizing
high profit customers
• Make effective use of social
media to reach out people and
expand the horizons of the
target markets

20. Customer Perceived Value Monitoring Satisfaction
Customer Relationship Management Customer Database

21. Presented by Smaran Raj Bachu (IIT Madras)
as a part of marketing management internship
under the guidance of Prof. Sameer Mathur,
IIM Lucknow.