Why Customers Really Leave

Have you ever wondered why customers say they buy your products based on price—and then in the end, they also stop buying because of price? What’s that phenomenon all about?

In a nutshell, the answer lies in the value received:
• for the price paid
• relative to the competition or to alternative products
How is value defined? Well, that’s a good question. Straight from the dictionary, Merriam-Webster defines it, among other ways that aren’t relevant, as: “a fair return or equivalent in goods, services, or money for something exchanged.”
My answer to how value is defined: It’s defined however the customer wants to define it. For customers it typically has two components: quality relative to price or benefits relative to costs; ultimately, customers choose the option with the best cost-benefit ratio.
So let’s go back to my original question about buying and not buying based on price. Here’s what I see happening: Companies offer coupons, discounts, and other low-price strategies to get customers in the door. They even close the deal. But they can’t deliver. And in the end, those loss leaders and pricing tricks to acquire more and more customers bite companies in the bottom line. Why? Because they can’t deliver.
Why do I keep saying that? What aren’t they delivering? Yup. Value.
How aren’t they delivering? In the form of a dreadful experience.
They then become stuck in a never-ending, vicious cycle: Acquire. Churn. Acquire. Churn. Acquire. Churn.

Article Reference: Quality Digest