Linking Customer Value to Customer Share in Business Relationships

Abstract

Marketing metrics represent a growing concern for practitioners and scholars alike. Among the performance measures at the individual account level, customer share emerges as a concept of growing interest, yet marketing lacks rigorous customer share metrics in business markets. In addition, the construct's position within the nomological net of relationship marketing in a business-to-business (B2B) context remains unclear. This research reports findings of a cross-sectional study among purchasing managers in U.S. manufacturing industries, which indicate a positive link between customer value and customer share in business relationships. Relationship benefits have a stronger impact on customer share than do relationship costs, such that sourcing and operations benefits appear to represent the most promising levers for effective customer share management. The results finally suggest that researchers should operationalize customer share in relative terms when investigating key supplier relationships across different industries.

Citation

Ulaga, W. and Eggert, A. (2008), "Linking Customer Value to Customer Share in Business Relationships", Woodside, A.G., Golfetto, F. and Gibbert, M. (Ed.) Creating and managing superior customer value (Advances in Business Marketing and Purchasing, Vol. 14), Emerald Group Publishing Limited, Leeds, pp. 221-247. https://doi.org/10.1016/S1069-0964(08)14007-8