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©2000PrenticeHallObjectivesDefinevalue&satisfaction-understandhowtodeliverthemThenatureofhigh-performancebusinessesHowtoattract&retaincustomersImprovingcustomerprofitabilityTotalqualitymanagement©2000PrenticeHallResourcesOrganizationandaligning...HighPerformanceBusinessProcessesByimprovingcriticalbusiness...Stake-holdersSetstrategiestosatisfykey...©2000PrenticeHallSatisfiedCustomers:AreloyallongerBuymore(newproducts&upgrades)Spreadfavorableword-of-mouthAremorebrandloyal(lesspricesensitive)OfferfeedbackReducetransactioncosts©2000PrenticeHallInactiveorex-customersCustomerDevelopmentPartnersAdvocatesClientsRepeatcustomersFirst-timecustomersSuspectsProspectsDisqualifiedprospects©2000PrenticeHallCustomer/ProductProfitabilityAnalysisP1HighlyprofitableproductP2ProfitableproductP3LosingproductP4Mixed-bagproductProducts+++Highprofitcustomer+-Mixed-bagcustomer+--LosingcustomerC1C2C3Customers