In the English language, we often use a single word —“love”— to describe a wide range of emotions, from the deep affection we feel for family to the excitement of a new romantic relationship. Other languages offer multiple words to describe love in different contexts, highlighting its many nuances.
For example, the ancient Greeks used several words for love:
Agape – Selfless, unconditional love
Eros – Passionate or romantic love.
Philia – Love between close friends or comrades
Ludus – Playful, flirtatious love, full of teasing and excitement
Pragma – Mature, enduring love
Philautia – Self-love
Storge – Familial love, instinctive and natural affection
Mania – Obsessive love
Each of these words captures a different dimension of love, just as different types of value exist in customer relationships. Yet, in business, we often make the same linguistic mistake—using “value” as a blanket term when, in reality, it manifests in many forms, depending on the customer, the company, and the stage of the relationship.
Understanding the nuances of value—just as the Greeks understood the nuances of love—is essential for building customer experiences that prioritize Lifetime Value (LTV) over short-term deal size.
Let’s break down the many meanings of "value" and explore how businesses can create, capture, and sustain it throughout the customer lifecycle.
The Different Facets of Value in Customer Experience
In both customer and company perspectives, value is multi-dimensional. Below are key types of value that shape interactions and drive long-term relationships.
1. Perceived Value (Customer-Centric)
Perceived value is the customer's subjective assessment of whether a product or service is "worth it."
Functional Value – Does this product solve my problem?
Economic Value – Is this a good financial decision?
Experiential Value – Does it feel good to use?
Symbolic Value – Does it align with my identity and aspirations?
Relationship Value – Do I trust this brand? Will they support me?
For example, a premium fitness subscription isn’t just about access to equipment; it’s about an experience, a community, and a feeling of personal investment in one’s health.
2. Delivered Value (Company-Centric)
Delivered value is the business’s ability to provide and quantify the benefit to customers.
Product Value – What tangible and intangible benefits do we provide?
Service Value – Are we making it easy, convenient, and reliable?
Brand Value – Are we creating an emotional connection with our audience?
Operational Value – Are we efficient in fulfilling promises?
Support Value – How well do we assist customers before, during, and after purchase?
Even the best product will fail if the service experience is frustrating or the brand doesn't inspire trust.
3. Captured Value (Financial & Business Growth)
Captured value is the revenue, loyalty, and business growth a company gains from delivering customer value.
Monetary Value – The revenue generated from a customer.
Retention Value – The longevity and loyalty of a customer.
Referral Value – The influence customers have in acquiring new customers.
Expansion Value – The ability to upsell, cross-sell, or deepen engagement.
Companies often fixate on deal size—how much a single customer spends initially—when in reality, the real opportunity lies in optimizing the total value that a customer provides over time. This is where Lifetime Value (LTV) becomes crucial.
Why Lifetime Value (LTV) Matters More Than Deal Size
While closing a large deal may seem like the pinnacle of success, it's a short-sighted metric when compared to Lifetime Value (LTV).
What is Lifetime Value (LTV)?
Lifetime Value is the total revenue a company can expect from a customer over their entire relationship.
LTV = (Average Purchase Value) x (Purchase Frequency) x (Customer Lifespan)
This metric shifts the focus from one-time transactions to sustained, profitable relationships. For example:
A customer who spends $5,000 once is not as valuable as a customer who spends $500 every year for 10 years.
A business that prioritizes LTV invests in customer success, retention, and loyalty programs rather than aggressive short-term sales tactics.
How Focusing on LTV Creates a Better Customer Experience
Encourages Long-Term Thinking – Businesses prioritize retention, loyalty, and continuous improvement rather than pushing for short-term wins.
Reduces Acquisition Costs – Retaining customers is significantly cheaper than constantly acquiring new ones.
Increases Profitability – Loyal customers spend more over time, refer others, and are more likely to explore additional products/services.
Improves Customer Experience – Companies that optimize for LTV focus on delivering consistent value rather than merely making a sale.
Take Apple, for example. The company doesn’t just sell iPhones—it creates an ecosystem that keeps customers engaged for decades through services, accessories, and a seamless experience.
Mapping Value to the Customer Journey
Different types of value matter at different stages of the customer lifecycle. Here’s how businesses can align their approach:
Stage | Customer's Definition of Value | Company's Strategy for Delivering Value |
Searching | “Is this relevant to me?” | Clear messaging, branding, thought leadership |
Considering | “Will this solve my problem better than alternatives?” | Competitive differentiation, testimonials, case studies |
Purchasing | “Is this worth my money?” | Transparent pricing, risk-reduction guarantees |
Enabling/ Adopting | “Was this the right decision?” | Smooth implementation, education, proactive support |
Performing/ Adapting | “Am I getting continuous value?” | Personalization, product evolution, community building |
Extending | “Do I trust this brand enough to stay?” | Exceptional service, rewards, long-term benefits |
Expanding | “Is this worth recommending to others?” | Referral programs, incentives, exclusivity |
By mapping value creation to each stage, businesses ensure they don’t just win customers—they keep them.
Final Thoughts: Rethinking Value for Sustainable Success
"Value" is not one-size-fits-all. It shifts based on perspective, persona, and stage in the customer journey. Businesses that only focus on immediate monetary value (deal size) miss the much larger opportunity of ongoing relational and experiential value.
When companies optimize for Lifetime Value (LTV), they create a cycle where customers continue to engage, purchase, and advocate. That’s the real measure of success—not just how much you earn today, but how well you build relationships that last.
By expanding our definition of value—just as some languages expand their definition of love—we can create richer, more meaningful customer experiences that drive sustainable growth.
So, next time someone asks, “What’s the value of this?”—pause and ask: Who is asking and which kind of value are we talking about?