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What is customer equity?

Updated: 9/17/2023
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Customer Equity, the Percentage of Equity of the Buyer in the Assets of the Supplier. Edit Talk 0 10PAGES ON

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Customer Equity or Customer's Equity, CE, - Consumer Equity or Client Equity (also Buyer's Equity) -, is the percentage of equity of the buyer in the assets of the seller/supplier.

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In free market the Seller (producer/supplier/business), in general, defines a higher price for the Buyer (customer, consumer, client) to pay for the seller's products and/or services, bearing in mind the cost of various business tools/means (facility, equipment etc) the seller needs to operate, apart from consumables, which finally become its assets.

That is to say if the seller/supplier were provided with the tools/means to operate (building facility, machinery, furniture/equipment etc) by the customers, it should charge them less for the acquisition of goods/services, permanently (purchase) or temporarily (lease, rent, use only), and all such assets -ownership equity - theoretically, should belong to the buyers/customers and shared between them

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