Elements of Value - KeynesYouDigIt/Knowledge GitHub Wiki
Elements of Value
- Modeled after Maslow's hierarchy
- Different pieces that customers all attach some value to
- Customers generally need to have elements at bottom met before valuing ones at top
- You can charge more for values closer to the top of the pyramid
- Conversely, when charging more money, find ways to add value higher up
- Quality (how good it does its job) affects loyalty more than any other value
- After quality, the most important ones are industry-specific
Elements of value pyramid
Bottom: Functional
- Saves Time (Apparel, discount retail)
- Simplifies
- Makes Money (Brokerage)
- Reduces Risk
- Organizes (Smartphones)
- Integrates
- Connects (Smartphones)
- Reduces Effort (Smartphones)
- Avoids Hassles (Apparel, consumer banking, credit cards)
- Reduces Cost (TV service providers, discount retail, auto insurance)
- Quality
- Variety (Apparel, TV service providers, discount retail, grocery, brokerage, food and beverage, auto insurance, smartphones)
- Sensory Appeal (Grocery, food and beverage)
- Informs
Emotional
- Reduces Anxiety (Consumer banking, auto insurance)
- Rewards Me (Discount retail, grocery, credit cards)
- Nostalgia
- Design/Aesthetics (Apparel, TV service providers, food and beverage)
- Badge Value
- Wellness
- Therapeudic Value (Food and beverage)
- Fun/Entertainment (TV service providers)
- Attractiveness
- Provides Access (Consumer banking, brokerage, auto insurance, credit cards)
Life-Changing
- Provides Hope
- Self-Actualization
- Motivation
- Heirloom (Consumer banking, brokerage, credit cards)
- Affiliation/Belonging
Social Impact