Customer Value Perspective This perspective defines the value proposition used to generate sales and loyalty from targeted customers (Kaplan and Norton, 1996). It requires managers to identify the potential customers in the targeted segments and consequently choose the value parameters to deliver to the customers. The wide spectrum of marketing literatures have provided evidences that perceived customer value determines the level of customer satisfaction, which leads to customer acquisition, retention and ultimately customer profitability and market share (Malina, 2001).
Improving the level of innovativeness, product improvements and after-sales service may lead to improved customer satisfaction levels. Krishnan et al (1999) and Rust et al (1995) found that the level of service quality determine overall customer satisfaction in service industry.
Satisfied customers may be more likely to continue purchasing from the firm and spread the word-of-mouth to attract new customers. Perceptions of value perceived are hypothesized to drive customer satisfaction, which has been expressed as two related outcomes: customer acquisition and customer retention.