EFFECTIVE PRICING - Pricing Strategies and Principles

Add More Value for Your Customer

Price in terms of value rather than cost... More

10 Lessons from Konosuke Matsushita, Founder of Panasonic

Stick to fair prices... More

Effective Pricing: Cost Leadership - a Generic Business Strategy

Five Components of Marketing

Planning
Executing the conception
Pricing
Promotion
Distribution

Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods, and services to create exchanges that satisfy individual or organizational objectives.

Add More Value (AMV) for Your Customer

By Michael Hammer¹

Think of yourself as a provider of solutions, rather than of products or services.
Distinguish between what you are selling and what your customer is buying.
Take a broad view of your customer's underlying problems that go beyond you and your products.
See what your customers do with what you give them, and either do it for them or help them with it.
Price in terms of value rather than cost.

Three Basic Pricing Strategies²

A Skimming Strategy: If your offering has enough differentiation to justify a high price and you desire quick cash and have minimal desires for significant market penetration and control, then you set your prices very high.
A Market Penetration Strategy: If near term income is not so critical and rapid market penetration for eventual market control is desired, then you set your prices very low.
A Comparable Pricing Strategy: If you are not the market leader in your industry then the leaders will most likely have created a 'price expectation' in the minds of the marketplace. In this case you can price your offering comparably to those of your competitors.

Discover much more!

Winning Customers

How To Avoid The Most Common Pricing Mistakes

Make the Competition Irrelevant

Effective Selling

Customer Value Proposition

Internet Marketing

Retaining Customers

Customers Will Usually Come Back If...

Customers for Life

Ten3 Mini-Courses Presentation: View Download

Winning Customers (100 slides)

Price in Terms of Value

The best price is always the one that provides you with the most long-term profits. Price in terms of value rather than cost. Cost-plus pricing is worst choice. When you start pricing more intelligently, you will have a real advantage over most of your competitors.

Yin and Yang of Customer Value Creation

Competitive Strategies

Customer Value Proposition
- Survival Strategy: Low cost/benefit ratio
- Market Leadership Strategy: creating higher customer value and positioning... More

Competitive Strategies: 2 Types

Don't Price Too High or Too Low

If your price is too high, your sales will be hurt. But this can also be true if you price your product too low, advises Derek Gehl from Internet Marketing Center.. People think it's probably "too good to be true" and get suspicious when the price is far below their expectations. As a result, they don't feel confident making a purchase.

Synergistic Selling: 3 Pillars

4 Entrepreneurial Strategies

By: Peter Drucker

Changing the economic characteristics of the product, a market, or an industry – by creating utility, or pricing, or adaptation to the customer's social and economic reality, or delivering what represents true value to the customer.... More

Case in Point Microsoft: 7-Part Competitive Strategy

4. Set the industry standard to become the industry leader:

Make your product the best;

Make your product the most useful;

Make your product the cheapest... More

Excerpts from The Tao of Pricing by Marlen Jensen

Bringing Eastern enlightenment to Western marketing strategy.

Smart Discounting

Clever are discounts that commit a customer to you for further sales.

Examples:

Discounted razors, when you sell razor blades.

Discounted ink jet printers, when you sell ink cartridges.

Premium Pricing

Know your customers. If a man known for his cheapness buys from you... raise your prices immediately.

Even the "monetarily challenged" can enjoy splurging or treating themselves to a relatively expensive candy bar, shampoo, or after-shave.

Marlene Jensen, the author of Pricing Psychology Report

By:

Marlene Jensen

Pricing Psychology Report

Pricing intelligence you can use today – to increase profits:

How to raise prices without losing sales – what works and why

"Magic" numbers that increase orders & "Bad" numbers that discourage orders

When putting cents in your price is a danger

How your "decor" is connected to the price you can get

Psychological tricks in discounting

The psychology of negotiating prices

Pricing alerts - danger signs that you're seriously underpriced

How to charge different prices to different groups – legally