If everyone thought about value the same way, we would all drive the same car and we would all shop at the same stores.
But we don’t.
Because we live in a world of abundance, almost everything we do and almost everything we buy, goes beyond its utility value.
Utility value is 4 wheels, an engine, seats, and a frame that drives you from point A to point B. But of course, none of us shop or buy that way. Instead, we care about the color, design, and what a car says about who we are as a person.
Subjective value is like a Rolex watch. We don’t actually use it to tell the time. And often, it just sits on the shelf.
So, what is the value of a Rolex? A Rolex provides us with a feeling about ourselves, and what we believe it signals to others.
This idea, that everything we purchase is a form of subjective value has deep implications about ourselves as humans and as creators. Subjective value is where all of the margin is. It’s in the design, the art, the unnecessary, the intricate themes of how we see ourselves in the world and how we hope to be seen by others.
Recognize that most of what we’re doing all day is creating subjective value for one another. This means that meaning is underrated in the market. It also means that not everyone perceives value the same way. It helps to know how to uncover the subjective value of your customers so that you can create for what they are truly after, vs. what sounds logical.
Recognize that because value is subjective, you have agency over deciding what it is that you value. This is seen reflected in both how you spend your money and how you spend your time.
The business world isn't just a world of logic.
We are all humans who are trying to create meaning. And the products and services that we purchase provide us with that meaning we seek…
xx David
Business is About Meaning Making