The Challenge of Value Based Pricing
In Value Based Pricing we would work out the total benefit to the customer of our product or service. We measure this benefit and then base our price on the benefit the customer receives. The challenge is to identify the real value to the customer and to communicate that value convincingly to the customer.
Why should you care?
Conventional pricing methods like cost plus and competition oriented pricing do not in any way focus on pricing the value we deliver to customers. For that reason companies often get their pricing wrong – either too high (and annoy their customers) or too low (and they leave money just sitting on the table which should be in their pockets. Increasingly savvy buyers force salespeople to discount. The result is cheapening of your brand and results that are much less than they should be. Do you care about that?
Responding to the Challenge of Value Based Pricing
Companies should consider pricing their products on the value they deliver to their customers. While not all products and services should be priced on value, where you have a really important differentiation this can be the obvious – or even the only – approach to adopt. We show you how.
Value / Impact
Our course are not about changing numbers around on a spreadsheet. They are about showing you how to move your business into a new way of pricing the value you create – and help you to stop giving it away for the quick deal! Value Based Pricing approaches lead not just to better profits – but also to better business.
Who have we done it for?
We have delivered Value Based Pricing initiatives for many companies over many years including Philips, Michelin, Gemalto, Elsevier, HTC, Amadeus and many others. We have worked all over the world helping pricing people create excellent profits and build better business.