Pricing strategy can be a contentious topic in marketing discussions. Marketing and sales people fight for lower prices, sometimes to justify lack of sales performance.
On the other hand, the Chief Financial Officer, aware of the many components of product or service costs and with the objective to show increasing EBITDAs to maximize company valuation, pushes for high pricing. CFOs want to see higher prices and lesser discounts that lead to increasing profitability, but they aren't as connected to what the market can actually bear.
This can become a battle, not always fought with appropriate pricing justifications. The adoption of multi-channel strategies has made pricing strategies even more relevant and important, ideally fueled by solid data from the market, and good internal costing data as well. What techniques can you use to get to a better answer on pricing, faster and more profitably?
Higher prices may cause a slow-down in sales and market share losses, a collateral decline in supplemental and complementary sales, and brand tarnishing. Lower prices may cause lower profits, inventory shortages, overhead cost increases, personnel shortage and brand decline. Value proposition, product positioning, targeting and channel complexity are directly related to pricing.
This month Global Chamber® presents Pricing for Profit in International Business, a perfect catalyst for a discussion and review of company pricing, with the objective of achieving increased revenues and market share for companies of all sizes.
This 1.5 hour per week, four-week program is recommended for chief financial officers, marketing officers, CEOs and company owners. The small per meeting participation fee can be recovered 1000 times over by adjusting your international pricing, and possibly your domestic pricing as well. The small time investment of time and treasury via zoom meeting in the privacy of your office, home, hotel or car will allow you to create unexpected and dramatic improvements to your company bottom line.
We hope you'll join us! Session one begins January 29th and runs for 4 weeks.
Read more and sign up HERE.
And please contact me if you have any questions.
Professor Roberto Ancis - CEO at Coaching Professors