A Quote by Peter Drucker

What the customer buys and considers value is never a product. It is always utility, that is, what a product or a service does for the customer.

Peter Drucker

Quote Topics

Always Considers Customer Does Never Product Service Utility Value

Quote Author

Peter Drucker
American - Businessman
November 19, 1909 - November 11, 2005

Traditional sales and marketing involves increasing market shares, which means selling as much of your product as you can to as many customers as possible. One-to-one marketing involves driving for a share of customer, which means ensuring that each individual customer who buys your product buys more product, buys only your brand, and is happy using your product instead of another to solve his problem. The true, current value of any one customer is a function of the customer's future purchases, across all the product lines, brands, and services offered by you.

Seth Godin

The most common way customer financing is done is you sell the customer on the product before you've built it or before you've finished it. The customer puts up the money to build the product or finish the product and becomes your first customer. Usually the customer simply wants the product and nothing more.

Fred Wilson

Business is all about the customer: what the customer wants and what they get. Generally, every customer wants a product or service that solves their problem, worth their money, and is delivered with amazing customer service.

Fabrizio Moreira

Does the customer invent new product or service? The customer generates nothing. No customer asked for electric lights. There was gas and gas mantles, which gave good light.

W. Edwards Deming

So, always start with a product, always start with a customer, always start with a service and how this product or service will dramatically improve the quality of the life or the work of the customer.

Brian Tracy

Your business should be defined, not in terms of the product or service you offer, but in terms of what customer need your product or service fulfills. While products come and go, basic needs and customer groups stay around, i.e., the need for communication, the need for transportation, etc. What market need do you supply?

Ken Blanchard

Setting customer expectations at a level that is aligned with consistently deliverable levels of customer service requires that your whole staff, from product development to marketing, works in harmony with your brand image.

Richard Branson

Suppliers and especially manufacturers have market power because they have information about a product or a service that the customer does not and cannot have, and does not need if he can trust the brand. This explains the profitability of brands.

Peter Drucker

The risk of relying on a handful of customers is not just financial. Your product also is at risk when you're at the mercy of a few big spenders. When any one customer pays you significantly more than the others, your product inevitably ends up catering mostly to that customer's specific needs.

Jason Fried

Quality in a product or service is not what the supplier puts in. It is what the customer gets out and is willing to pay for. A product is not quality because it is hard to make and costs a lot of money, as manufacturers typically believe. This is incompetence. Customers pay only for what is of use to them and gives them value. Nothing else constitutes quality.

Peter Drucker

If you think of the product as a service, then the separate parts make no sense - the point of a product is to offer great experiences to its owner, which means that it offers a service. And that experience, that service, comprises the totality of its parts: The whole is indeed made up of all of the parts. The real value of a product consists of far more than the product's components.

Donald A. Norman

Foremost is the principle that the purpose of consumer research is to understand the customer's needs and wishes, and thus design product and service that will provide better living for him in the future. A second principle is that no one can guess the future loss of business from a dissatisfied customer.

W. Edwards Deming

Instead of creating aesthetically pleasing prose, you have to dig into a product or service, uncover the reasons why consumers would want to buy the product, and present those sales arguments in copy that is read, understood, and reacted to—copy that makes the arguments so convincingly the customer can’t help but want to buy the product being advertised.

Robert W. Bly

In order to sell a product or a service, a company must establish a relationship with the consumer. It must build trust and rapport. It must understand the customer's needs, and it must provide a product that delivers the promised benefits.