Reflections on gaining competitive advantage through customer value
- 5.8k Downloads
Woodruff’s detailed discussion of the meaning and measurement of customer value and how companies can use customer value information in designing their strategies makes a major contribution to marketing theory and practice. It provides an insightful synthesis of the literature on customer value and points out why and how current theory on the subject should be strengthened. It also offers suggestions for companies to foster customer value learning and incorporate it as a cornerstone of their competitive strategies. The primary objectives of my commentary have been (1) to critically examine Woodruff’s contributions and highlight unresolved issues requiring further investigation and (2) extend Woodruff’s contributions by proposing and discussing a detailed framework for monitoring and leveraging customer value. In addressing these objectives, I have attempted to raise questions and offer suggestions—some of which are necessarily tentative—in the hope that they will stimulate additional interest, debate, and research on the topic.
KeywordsGoal Level Data Collection Approach Focal Company Purchase Frequency Market Science Spring
- Churchill, Gilbert A. 1991.Marketing Research: Methodological Foundations. Hinsdale, IL: Dryden.Google Scholar
- Gale, Bradley T. 1994.Managing Customer Value. New York: Free Press.Google Scholar
- Mick, David Glenn, and Susan Fournier. 1995. “Technological Consumer Products in Everyday Life: Ownership, Meaning, and Satisfaction.” MSI Working Paper, Report No. 95–104 (May).Google Scholar
- Reichheld, Frederick F. 1996. “Learning From Customer Defections.”Harvard Business Review 74 (March–April): 56–69.Google Scholar