Further Details
Value pricing is based on the principle of "exchanging something I value for something you value" and negotiating to make the exchange fair and mutually beneficial. In recent years, over-supply in many markets, increasing buyer power and limited investment in good sales people and proper selling skills have together encouraged many industries to commoditise their products and services. They (wrongly) task their sales people to focus on price competition as the best method of winning the order.
A value based approach to pricing focuses on the value of our product or service to our customer, and not on our costs. Costs are irrelevant to most customers anyway. We try to find out how the use of our product or service can increase the bottom line, reduce operating costs, contribute to real competitive advantage or quite simply reduce the hassle factor for our customers. We then seek to find a pricing formula which enable both buyer and seller to share in the benefits of the exchange.
Key Focus
Understand the nature and limitations of conventional pricing approaches
Understanding of the concept of value and how to recognise our value
Comprehensive analysis of the Economic Value to Customer concept and how to harness this in price setting
Role of profit drivers and value drivers in modern business transactions
Review of alternative Value Pricing approaches and how and when to use them
Value based selling techniques
Who will benefit?
Brand and product marketing managers, marketing analysts, sales managers, key account managers, pricing managers, accountants and any others with an interest in, or responsibility for, pricing their organisations’ products and services.
Course Content
Conventional pricing approaches
What is value and why does it matter?
Defining the true value of our products to our customers
Calculating Economic Value to Customer
Assessing range of pricing flexibility and developing pricing options
Detailed review of Value Pricing approaches
Selling a value based pricing proposition
This course will provide you with the skills to
Present the value of your product in emotional and economic terms
Understand and be able to apply the key value drivers
Set profitable prices even within a highly competitive environment
Be able to assess the economic value of your product to your customers
Select the most appropriate value pricing tactics
Guide price
£1,495 (First Delegate Rate) £1,345 (Additional Delegate Rate) |
