Best Pricing Practices by Jan Triplett - ProductCamp Austin 6

With Jan Triplett, Ph.D. CEO, Business Success Center © 2011 Austin, TX
Best Practices in Pricing
© Business Success Center, Austin, TX 2011
1

2

Your Passion, BSC’s Expertise
Our Mission: to help you find your way
Providing guided growth to achieve success since 1982
Sales, marketing, & financial management focus
Clients from A-Z industries, high tech to no tech, products & services
3

Your Company Focus?
B to B?
B to C?
Better to be P to P
.)(.
(Belly Button to Belly Button)
4

Who’s your customer now?Who’s your prospect now?
Platinum & Gold — create stabilitySilver —has potentialBronze — uncertainLead — a time waster
Concrete — a business killer & never satisfied
Radio Active Waste a long-lasting reputation & confidence destroyer
5

Platinum customers are…
• Visionaries
See problem as you do
See value of your solution
• Adventurous
Confident in you
Trust you
• Decisive
Hassle-free or less hassle
6

What’s Your Desired Pricing Goal?
Attract paying customers who are:
Most Lucrative
Easiest Sale
7

A “Fair” Price
Customers want: To get good value, pay a fair price.
Sellers want: To give good value, get a fair price.
Dilemma: What’s fair to one; may not be fair to the other.
8

What Do You Want Customers To Do?
Examples:
Try it
Stock up
Repeat buy
What else?
9

Pricing Considerations
10
Pricing is an emotional issue for you, your employees, & customers.
Buyer reaction to price is unpredictable.
Shoot from the hip & you’ll end up shot in the foot or worse.
One price strategy usually doesn’t fit all products/services.
Controlling costs can make a business more profitable than raising the price.
Stay alert: pricing laws & regulations change.

What You Need to Know about Pricing
Pricing should be…
Pricing will…
11
An attention getter and qualifier.
A way to position your company.
Perceived by your Platinum-preferred client as a benefit not just a feature.
Make you rich or at least comfortable or just sick and tired.
Affect the success of all areas of the business.
Require that you don’t just set it & forget it.

Your Price is NOT Right for Everyone
It’s all about:
Getting the right customer
Keeping the right customer
Considering their perceived risk
Knowing your true total costs
Identifying the top value you bring
Accounting for long & short term goals
THEN Pricing Right & legally!
12

The Big Debate
Cost
Vs
Value
13

Best Practices in Pricing
• Price what you’re worth.
• Use KISS pricing system.
• Account for profit, contingency & hassle-factor.
• Price for positioning.
• Monitor & adjust.
14

Worst Practices in Pricing
• Undervaluing your benefits.
• Under-estimating costs.
• Not considering your Platinum customer’s “Flinch Point”.
• Blindly following competition.
• Inconsistent pricing.
• Violating laws - DTPA
15

Good & Bad Pricing Examples
Charging $15 per hr for professional services
Providing a $400 discount on a product
Charging $500 for one research report
Charging low price to get started
Your examples?
16

Here’s to your success!
Business Success Center
Sales & Financial Management Services
January 15, 2011
Jan Triplett
triplett@bscusa.com
Twitter@JanTriplett
Facebook@JanTriplett

Best Pricing Practices by Jan Triplett - ProductCamp Austin 6

by ProductCamp Austin on Jan 20, 2011

Accessibility

Categories

Tags

Upload Details

Usage Rights

1 Embed 18

Statistics

Best Pricing Practices by Jan Triplett - ProductCamp Austin 6 — Presentation Transcript