Unlocking the Customer Value Chain Quotes

“whatever business you are in, your customers always pay you with three “currencies”: their money, their time, and their effort.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“In assessing your business model, it’s vital that you get to the core of the phenomenon: the customer’s changing needs and wants.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“Decouplers often trip up on this step in two ways. First, they are overly generic in articulating the CVC. When mapping the process of buying a car, auto executives tend to describe it as: feel the need to buy car > become aware of a car brand > develop an interest in the brand > visit the dealer > purchase the car. This is a start, but it is not specific enough. Decouplers must ask: When do people actually need a new car? How exactly do people become aware of car brands? How do people become interested in a make or model? And so on. The generic process of awareness, interest, desire, and purchase isn’t specific enough to help. Decouplers also flounder by failing to identify all the relevant stages in the value chain. For the car-buying process, a better description of the CVC might be: become aware that your car lease will expire in one month > feel the need to purchase a new car > develop a heightened interest in car ads > visit car manufacturers’ websites > create a set of two or three brands of interest > visit third-party auto websites > compare options of cars in the same category > choose a model > shop online for the best price > visit the nearest dealer to see if they have the model in stock > see if they can beat the best online price > test-drive the cars > decide about financing, warranty, and other add-ons > negotiate a final price > sign the contract > pick up the car > use it > wait for the lease to expire again. With this far more detailed CVC, we can fully appreciate the complexity of the car-buying”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“business model from the customer’s point of view: “A business model consists of the value a business creates for me, what it charges me in exchange for that value, and what value it erodes for me.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“To get ahead of disruption, we need to pay far more attention to customers than we ordinarily do, and commensurately less attention to competitors.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“most profitable business model innovations have little to do with the underlying product.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“You should never forget about why you are in the bank[ing business], and that is to serve the customer….[T]here is a risk that we focus too much on technology and how to be in the forefront. We could forget about what is the customer value in what we’re doing.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“customer value chain” (CVC) as the series of activities that customers perform in order to fulfill their needs and wants. These activities include searching for, evaluating, purchasing, using, and disposing of products. The”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“map out all the activities in that group’s typical customer value chain. Decouplers often trip up on this step in two ways. First, they are overly generic in articulating the CVC. When mapping the process of buying a car, auto executives tend to describe it as: feel the need to buy car > become aware of a car brand > develop an interest in the brand > visit the dealer > purchase the car. This is a start, but it is not specific enough. Decouplers must ask: When do people actually need a new car? How exactly do people become aware of car brands? How do people become interested in a make or model? And so on. The generic process of awareness, interest, desire, and purchase isn’t specific enough to help. Decouplers also flounder by failing to identify all the relevant stages in the value chain. For the car-buying process, a better description of the CVC might be: become aware that your car lease will expire in one month > feel the need to purchase a new car > develop a heightened interest in car ads > visit car manufacturers’ websites > create a set of two or three brands of interest > visit third-party auto websites > compare options of cars in the same category > choose a model > shop online for the best price > visit the nearest dealer to see if they have the model in stock > see if they can beat the best online price > test-drive the cars > decide about financing, warranty, and other add-ons > negotiate a final price > sign the contract > pick up the car > use it > wait for the lease to expire again. With this far more detailed CVC, we can fully appreciate the complexity of the car-buying”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“customers disrupt markets, shifting their behavior in the course of trying to satisfy their changing needs and desires. When customers decouple their consumption activities, they implicitly decide that they no longer wish to perform all of the activities required to acquire a product or service with the same company.”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption

“(1) Can you deliver more value in the value-creating activities without charging more? (2) Can you afford to capture less in the value-charging activities, everything else being equal? (3) Can you reduce eroded customer value without diminishing what you’re offering or capturing?”
― Thales S. Teixeira, Unlocking the Customer Value Chain: How Decoupling Drives Consumer Disruption