top of page

Pricing to please

Writer's picture: Del ChattersonDel Chatterson

Updated: Feb 25, 2024

Pricing to please

Not everybody, but your target customers


“Can you do better?”


Back in the day, when I was selling computer hardware to resellers in Boston, that was usually their response, whenever I quoted a price. Actually, in Boston it was more like, “Can yuh do bettah?” In any case, my smart-ass reply was often, “Better for you or for me?”

Isn’t that the real question?

But that makes it a win-lose game, instead of a mutual benefit transaction. What price will satisfy both the buyer and the seller? Buyers want a price that compares favourably to their alternatives and delivers value to their business. Sellers want a price that exceeds their cost and delivers sufficient volume to be profitable to their business.

An acceptable price is defined by the market, the prior experience of your target customers with your competition. But the right price is a key strategic decision and must be consistent with your own prior choices for product quality, features, benefits and associated services. Price is an important strategic element in your market positioning.

Do you want the price to be the primary attraction to your business? Or is your product more unique and your customer more discriminating than that. If you win on price, you can also easily lose on price. Long-term loyal relationships are built on a consistent customer experience that confirms your integrity, expertise and business values. Price and availability are only the initial entry criteria.

You cannot please everybody, so use pricing to help select the customers you really want to do business with.


Be better. Do better.


Your Uncle Ralph, Del Chatterson



4 views0 comments

Recent Posts

See All

コメント


SIGN UP AND STAY UPDATED!

Thanks for submitting!

  • Grey Twitter Icon
  • Grey LinkedIn Icon
  • Grey Facebook Icon

LearningEntrepreneurship.com : #1004 - 200 Ave. des Sommets, Montreal, QC Canada H3E 2B4

© 2024 Uncle Ralph's Publishing Empire (146152 CDA Inc.)

bottom of page