The Competitive Value Matrix is the “radar screen” of our customer value tools. Suppliers within a product/market are located on the matrix on the basis of their Quality (CQI) and Price ratings. The location of your firm relative to the locations of your competitors tells you what your COMPETITIVE VALUE PROPOSITION is.
In this case, Company XYZ is an OUTSTANDING VALUE PROVIDER, and the VALUE LEADER. Competitor 1 is an AVERAGE value provider, and Competitor 3 is a POOR value provider. Competitor 2 provides customers with an EXPENSIVE RELATIONSHIP, better than average Quality at a less than satisfactory price. No competitor provides a discount relationship in this example.
The Competitive Value Matrix provides an overview of your firm's competitive positioning. The matrix can be disaggregated into its constituent components for more detailed information on competitive strengths and weaknesses.
