The Value Map shows the current competitive position and the provided customer value of a company in a specific market segment within the dimensions of:
» Relative perceived quality
» Relative perceived price
» The fair value line
The fair value line indicates the customer’s preference in the purchase decision, that is price importance vs. quality importance. The fair value line indicates the customer’s price sensitivity in the purchase decision, i.e. price importance vs. quality importance. Price-driven markets show a flat fair value line, quality driven markets a step one. Any position on the fair value line indicates average value for money.
Customer Value is defined and measured as the perpendicular distance to the fair value line. A position to the right and below the fair value line indicates positive Customer Value, to the left negative.