Plenty of revenue is lost through inefficiencies in business. Close to the top amongst the profits that could have been … but did not, inadequate pricing strategies is a major cause for many companies to miss out on the 'low-hanging fruit' / “leave too much money on the table” from direct sales to their established customer base.
Pricing Analytics Objectives
Objective: Developing better prices & value propositions…
The perfect Price
When a customer looks at a product on the shelves or consider hiring a service, several concurrent thoughts immediately run through his or her head. Is it high-quality? Is it fast? Is it affordable? Will buying it impact my lifestyle?
In the end, what every customer wants is maximum value for his money. Thus, to attract greater sales, many believe that lowering prices is the way to go. A Pricing & Value Consultant however, can show you that this simplistic attempt at pricing often fails to maximize profit. Pricing increases that do not address the customer's assessment of value will often backfire.