Digital transformation is not only changing the way value is created in service encounters, it is also offering new ways to gather and analyse data of customer behaviour and perceptions. This paper studies perceived customer value through a case study of a media company developing its digital services and service encounters. The special focus is on studying the role of emotions in value creation in a data-centric, digitally transforming media context. Through the qualitative case study, this study contributes to value creation research stream by providing rich, empirical analysis of the role of emotions in digital value creation. Both positive and negative emotions co-exist in the smart service encounters and by identifying the drivers for positive and negative affections the service providers can finetune the technological attributes related to the service.