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A Groundbreaking Pricing Model for the New Business Landscape Why would any customer choose Brand X over Brand Y, regardless of price? In a word: Value. When customers feel they are getting good value from your product or service, they are more than happy to pay more?which is good news for you and your business. Even in today’s global market?with its aggressive competitors, low-cost commodities, savvy consumers, and intangible digital offerings?you can outsell and outperform the rest using Value-Based Pricing. Done correctly, this method of pricing and selling helps you:Understand your customers’ wants and needsFocus on what makes your company differentQuantify your differences and build a value-based strategyCommunicate your value directly to your customersNow more than ever, it is essential for you to reexamine the reality of the value you offer customers?and this step-by-step program shows you how. Developed by global consultants Harry Macdivitt and Mike Wilkinson, Value-Based Pricing identifies three basic elements of the Value Triad: revenue gain, cost reduction, and emotional contribution. By delivering these core values to your customers?through marketing, selling, negotiation, and pricing?you can expect an increase in profits, productivity, and consumer goodwill. These are the same value-based strategies used by major companies such as Philips, Alstom, Siemens, and Virgin Mobile. And when it comes to today’s more intangible markets?such as consulting services or digital properties like e-books and music files?these value-based strategies are more important than ever. So forget about your old pricing methods based on costs and competition. Once you know your own value?and how to communicate it to others?everybody profits.
