The Two Main Concepts Of Customer Perceived Value

Customer Perceived Value actually refers to the overall value assigned to the product or service by the customer on the basis of the quality, usability and functions of the good or service acquired.

Moreover, Customer Perceived Value is directly affected by 2 main concepts

1. Customer Perceived Value is the sum total of customer pre purchase (expectation of quality of product or service) or perception during usage of product or service (Comparison between expected perception and usage perception) and post purchase perception (perception of the customer towards product or service after usage) (Oyserman et al., 2002). Only if the sum total of the perception of the product or service is positive, a customer is said to be satisfied with the product

Customers that assign high perceived value or price worthiness towards product or service of a particular brand are loyal to that brand.

• Social Value: Customers will always prefer to purchase products or service that will improve their social worth among their friends and family. Hence, customers will highly perceive and be loyal to brand that produce products that improve their Social Value

2.5.2 Brand Trust

While there have been many marketing studies on brand trust; mostly stating brand Trust to be a significant interlinking factor between customer pre and post purchase behaviour, which directly affects customer brand loyalty (Verhagen, Meents, and Tan, 2006). Basically brand trust has been defined as the belief of a customer towards a brand to conclude tasks as per expectation (Kimery and McCard, 2002)

Brand Trust being one of the primary factors directly affecting Brand Loyalty as customers prefer to purchase products or services only from a Brand that they trust (Jayawardhena, Wright and Dennis, 2007). Hence it can be simply concluded that Brand Trust is essential in ensuring Brand Loyalty, ensuring which a Brand can maintain its Market Share and Customer Base

2.5.4

No customer would wish to spend on a product that doesn’t satisfy his/her requirements or perform as per his/her perception efficiently. Thus companies, wishing to be successful, require to continuously analyze customer behavior to ensure their satisfaction while developing methods of improving the level of satisfaction among customers

To ensure that the Product or Service developed by the Company will ensure Satisfaction among the customers, the company needs to understand and implement the needs of its customers while developing products or services, allowing them to have a loyal customer database. Any company can only be successful in a business environment if they have loyal customer base that will continue to purchase from a particular brand as compared to purchasing products or services from competitors as long as it satisfies their requirements and