I have a rather innovative coaching client who is an entrepreneur in the information technology business. One of the many great things about being a business coach is the opportunity I have to witness the birth of some truly great ideas. I often get to see them just as they first germinate, much like a forgotten acorn buried underground begins to spring forth toward what will eventually become a mighty oak tree.
My client burst forth with another new idea recently and, of course, began to struggle with marketing questions right from the outset of product invention. How much should it cost to the customer? I suggested a very basic question he should consider is this: Should his pricing strategy be built on volume or margin?
He wisely replied, “I want it built on value.”
Value is the issue, and a couple of other things that will help your decision-making with regard to marketing, sales and product launching:
- Difference between Marketing and Sales – Marketing is having the products that people want to buy; and Sales is helping people buy what they want from you (and/or your network).
- Three Elements of Cost – Financial, Time and Change. Remember the difference between these three elements, and the nature of their currencies.
Value is produced from the prospect’s Commitment to Change
You can tap into a prospect’s Commitment to Change to increase their perceived value of your product (for example, with your marketing language and sales strategy).
People want to buy what they need from someone who understands what they want.
Do you understand what your prospect’s value?
How might you help them recognize their own Commitment to Change, so they will buy what they want – no more or no less – and so they will buy it from you?