Businesses that create value for customers set themselves apart from the competition and build customer loyalty. This helps to grow distribution, increase advertising revenue, and grow page count. Retaining your current audience also saves money. After all, it costs six to seven times more to attract a new customer than it does to retain your current following.
Creating customer value takes research, effort, and attention to detail. But when you understand how to identify, measure, and create customer value, you increase your publication’s likelihood of continued success.
Key Takeaways
- Customer value exists in terms of cost as well as tangible and intangible benefits.
- To develop an effective strategy, you must understand how to calculate customer value and recognize that the formula is different for every customer.
- Deliver customer value through motivational programs, loyalty programs, value-driven content, requests for feedback, and contests/giveaways.
Measure Value in 3 Steps
For some, value is all about cost (initial purchase and expenditure of time and money). For others, tangible and intangible benefits influence their purchase decision. The following video explains different value types in more detail.
Regardless of how it’s perceived, customer value can be measured in three steps.
1. Assess Customer Benefits
Analyze the quality of your product and how it surpasses that of your competitors. Consider your publication’s reputation and the unique customer experience you deliver to your audience. Identify any social advantages of partnering with your newspaper or magazine. All of these are benefits you provide to your customer base.
2. Add Total Costs
Calculate the total cost to your customers in terms of tangible benefits (like price of your service) and intangible benefits (like customer experience). In figuring total costs, determine the weight of tangible benefits against intangible benefits and calculate accordingly.
3. Apply Customer Value Formula
To identify the difference between customer benefits and costs, calculate customer value using the following equation:
(Total Customer Benefits – Total Customer Costs) = Customer Value
Value varies for each customer depending on their specific needs and priorities. Research your audience to gain insight into who you should reach, what problems they’re trying to solve, and what goals they want to achieve. Segmenting your audience into buyer personas can help identify people who can benefit most from your offerings. It can also help effectively calculate their customer value.
5 Ways to Create Value for Customers
Whether you save your customer money or provide a superior experience, added value is an effective way to benefit your magazine printing or newspaper printing business. Here are five ways to create value for customers and build meaningful relationships that boost readership and revenue.
1. Offer Motivational Programs
Motivational programs inspire an audience to act. Whether you’re targeting new businesses or working to retain current readership, there are several ways to motivate your following, such as:
- Offer a discount for first-time subscribers.
- Provide a special offer, such as free access to an online chat.
- Allow prospects a free trial to give your publication a try.
- Partner with a complementary company.
When you suggest relevant services, customers feel you understand their needs and provide high-quality customer service.
2. Implement Loyalty Programs
Show appreciation to your faithful following by enrolling them in a loyalty program.
- Points for purchases or feedback can be used for future transactions.
- Tiered membership levels enjoy advanced offers or exclusive event invitations.
- Extra perks like sneak previews and additional online amenities show loyal customers how much you value their business.
Satisfied loyal customers spread the word about your business, expanding your reach and boosting sales, subscribers, and advertising revenue.
3. Share Value-Driven Content
Provide your customers with meaningful content from industry experts. This establishes yourself as an authority in your field and builds brand credibility. Original content like educational videos, informative articles, or creative infographics are useful to customers. These can be shared through email, posted to social media platforms (which boosts engagement and enables people to share your information), or published on your corporate blog.
User-generated content is an effective way to engage your current subscribers while attracting a new following. When your audience posts feedback or photos of themselves interacting with your brand, it increases profitability. Ask people to share their experiences through follow-up emails or on social media platforms. Either way, you’ll expand your audience and give credibility to the value you claim to provide.
4. Invite People to Share Feedback
Nearly 90% of global consumers read reviews before making a purchase. Encourage people to leave reviews for your products and services. Being open to your readers’ feedback lets them feel like a valued customer and helps others feel more confident in doing business with your brand.
Add a CTA (call-to-action) button on your website where people can easily leave feedback about their experience. Email your subscribers and include links to quality review sites. Observe social media for posts and discussions about your publication. By keeping in touch with people’s perceptions of your brand, you can stay ahead of the competition in quality and value.
5. Engage Readers with Contests
Contests aren’t just a fun way to engage your audience. They can be rewarding for customers and for your brand. With very little expense or effort, you can encourage interaction with your publication and spread the word about your company. Hold a photo caption contest and publish the winning entry. Ask for editorial topic ideas and award the winner with a small discount on their next month’s subscription.
Expand brand awareness by posting a contest or giveaway on social media, where content can be easily shared. Spread the word through email to encourage new participants. Welcome entries on your website’s home page to drive traffic and increase SEO. All of this creates added value for your customers while increasing overall business success.
BOOM Communications Group Helps Create Value for Your Customers
From marketing and advertising to consulting and printing services, BOOM Communications helps develop an effective strategy to grow your business and generate more advertising revenue. We can help you identify your customer’s needs and apply that insight to business growth. Let’s work together to deliver your customers with products and services that set you apart from the competition.
Contact BOOM Communications today to learn more about creating value for your customers.