This document discusses how to effectively sell and price content strategy services to businesses. It acknowledges that content work is valuable but hard for businesses to understand and evaluate. It recommends doing research to understand the client's needs, narrowing the proposed solution, discussing both tangible and intangible benefits, and using estimates rather than exact numbers to calculate value and ROI. Pricing should be based on the perceived value to the client rather than just costs. The overall goal is to have an open dialogue to build understanding and reduce the client's uncertainty about investing in content work.

1. Content
CASH
Photo: © 1984 Betty Weinaug

2. I am two people.
Johnny is the nice one.
Cash causes all the trouble.
—Johnny Cash
2

3. Business expectations
To make an investment, organizations expect:
• To know exactly what our product is
• Proof of competency/quality
• Exactly how much it will cost
• Provable value and ROI
Hard numbers. Right now.
3

4. yikes.

5. We can do it
• We know content work is valuable
• We know content is a benefit, nay necessity, for
businesses
• And the business world is catching on, too
5

6. Today
• Selling and scoping
• Estimating value/ROI
• Pricing
6

7. But first…
some anger management

8. 1.It’s not (always)
about disrespect
or even money.
Photo: ©2012 John Alderman

9. Economics is making the
most out of life.
—Gary Becker
9

10. Decision making is scary
Investing in content:
• Means NOT investing in other things
• Might result in loss of:
• Money
• Time
• Other opportunities
• Professional reputation
• Emotional anguish
10

11. And hard…
People:
• Are limited by what they know
• Latch on to things that are familiar
• Take their best guess
• Often play it safe
• And then immediately start worrying that they’ve
made the wrong decision
11

12. 2. Content is a
harder decision
than most
Photo: ©1980 Betty Weinaug

13. Content breaks all the
economic rules
• Things of value are usually
• Exclusive
• Transparent
• Hard to replicate
• Endless supply AND endless demand
13

14. “Content strategy” is a
service
• “New” industry
• Very diverse
• No obvious accreditation
• Doesn’t fit nicely into a traditional business
14

15. 3.Numbers don’t
need to be exact.
Photo: ©1980 Betty Weinaug

16. As far as the laws of
mathematics refer to reality,
they are not certain; and as
far as they are certain, they
do not refer to reality.
—Albert Einstein
16

17. Measurement is…
A set of observations that reduce uncertainty where
the results are expressed as a quantity.
17

18. Exacts are impossible
Numbers reduce uncertainty:
• Approximate values
• Shortcuts for the brain
• Common vocabulary
Think about numbers as a communication tool.
18

19. Selling and scoping
(building a relationship)
Photo: © 1978 Betty Weinaug

20. 1. Do your homework
Get all the information you can, find out:
• What is the decision?
• What impacts that decision?
• What else do you need to know?
• What experience do stakeholders have with
content?
• Is there a budget?
20

21. The goal:
Make a confident decision that’s beneficial to
everyone.
21

22. 2. Narrow down the need
What’s the buyer buying?
• Good or service
• Service
• Strategy
• Planning
• Designing products or processes
• Implementation
• Creation
22

23. 3. Make connections
23 Photo: © 1980 Betty Weinaug

24. 4. Understand all benefits
and costs
Type Benefits Costs
Monetary Profit or savings Cost of creation
Sensory Get satisfaction/ Endure extra pain or
alleviate pain reduce satisfaction
Temporal Save time Lose time
Opportunity-based Gain advantages Eliminate possibilities
Psychological Reduce anxiety Add anxiety
Social Increase stature Blamed for problems
Convenience-based Makes things easier Makes things more
difficult
24

25. 5. Tell a hopeful story
Create a story that highlights key benefits, such as:
• We can serve users better
• We can be more efficient
• We can beat the competitors
• We can be more accurate
25

26. Brand it, test it, believe it
The Content Efficiency Initiative
Better for the front line
and the bottom line
Buy making our intranet content more
accessible, we’ll save hundreds of
headaches and hundreds of
thousands of dollars….
26

27. 6. Eliminate fear
• Discuss the details
• Plug information gaps
• Address concerns
• Start small or do some proof of concept work
• Provide references (services) or samples (goods)
• Be patient
27

28. Estimating value and ROI
(the magic formula)
Photo: © 1980 Betty Weinaug

29. Value = Benefits-Costs

30. Value of what?
Strategy
or Service
Content as Content as Efficiency
product influence tool
30

31. Value of what?
Strategy
or Service
Content as Content as Efficiency
product influence tool
31

32. Content as product
What is the content product worth?
• Benefit: Profit from the sale of the product
• Cost: Cost to create the product
32

33. Photo: © 1980 Betty Weinaug

34. Value of what?
Strategy
or Service
Content as Content as Efficiency
product influence tool
34

35. Content as influence
What is the piece of content worth?
• Benefit: Increased profit as the result of an end-
user behavior change
• Cost: Cost to create the content
35

36. Estimates, not exacts
Figure out what you know; fill in the blanks with assumptions
• The average Johnny Cash t-shirt costs $20
• Analytics show that 50 people start the process of purchasing a t-shirt online
every day, but only 10 finish the process
• User research shows that the instructions on the purchase pages are very
confusing
• We assume 5-10 people leave the purchasing process because of something
unrelated to the site, and 5-10 leave the process when they see the shipping
costs
• We assume the remaining 20-30 people would complete the purchasing
process if the instructions were more helpful
• Therefore, the value of the instructional content is likely around $144,000-
216,000 per year ($20 x 20-30 people x 30 days X12)
• The cost of fixing the content is approximately $5,000
36

37. Value of what?
Strategy
or Service
Content as Content as Efficiency
product influence tool
37

38. Efficiency tool
What is the tool worth?
• Benefit: Cost savings as the result of employee
behavior change (or happiness)
• Cost: Cost to create/maintain the tool and train
people to use it
38

39. Intermission
Photo: © 1982 Betty Weinaug

40. Value of what?
Strategy
or Service
Content as Content as Efficiency
product influence tool
40

41. Strategy (or service)
What is the strategy worth?
• Benefit: Combination of:
• Savings/profit from:
• Content as product
• Content as influence
• Tools
• Sub-services
• Value of non-monetary benefits
• Cost: Cost to create/implement the strategy
41

42. Pricing
(you’re worth it)
Photo: © 1977 Betty Weinaug

43. Everything is worth what the
purchaser will pay for it.
—Publilius Syrus
(1st century BCE)
43

44. Ways to price
You can base price on:
• Cost
• Competition
• Demand/value
44

45. There are a lot of good
economists, but there is only
one Roger Clemens.
—Robert Solow
(1987 Nobel laureate)
45

46. Estimating probable results
Basic project information:
• Maximum gain: $216,000
• Maximum loss: $5,000
• Chance for success: 70%
Expected opportunity loss:
• Risk of approved: $5,000 X 30% = $1,500
• Risk if rejected: $216,000 X 70% = $151,200
46

47. Pricing basics
• Give ballpark estimates early
• Estimate on time, price on value
• Aim for a consumer surplus
• Always provide numbers in person
47

48. Price is like setting a screw. A
little resistance is a good sign.
—Harry Beckwith
48

49. Photo: © 1977 Betty Weinaug

50. Our friend, Johnny…
Stats Honors
50+ million albums sold 17 Grammy Awards
9 CMA Awards
Created:
96 studio albums Rock and Roll Hall of Fame
63 compilation albums Rockabilly Hall of Fame
153 singles Songwriters Hall of Fame
Gospel Music Hall of Fame
Country Music Hall of Fame
Nashville Songwriters Hall of Fame
Kennedy Center Honors
National Medal of Arts
Hollywood Walk of Fame
50

51. Photo: ©2012 John Alderman

52. It’s about
decisions
not
disrespect

53. It’s NOT
us-against-them
it’s about
building relationships

54. It’s about
reaching understanding
and
reducing uncertainty

55. It’s about
estimates
not
exacts

56. It’s not
traditional
but it’s
achievable

57. Your work is valuable.
Go prove it.

58. Thanks!
@melissarach
melissa@dialogstudios.com
www.contentstrategy.com
www.dialogstudios.com
58 Photo: © 1981 Betty Weinaug

59. Want to know more?
Content Strategy for the Web (second edition)
Check out chapter 10
By Kristina Halvorson and Melissa Rach
How to Measure Anything
by Douglas W. Hubbard
Marketing Professional Services
by Philip Kotler, Thomas Hayes, Paul N. Bloom
Naked Economics: Undressing the Dismal Science
by Charles Wheelan
59