BUY WITH CONFIDENCE
BENEFITS OF DOCUMENT
DESCRIPTION
There are 3 common approaches to pricing: Cost-based Pricing, Competitive Pricing, and Value-based Pricing.
Value-based Pricing offers numerous distinct advantages over the other 2 pricing methodologies. It is particularly suitable for situations where you are entering a new market, offering a new or distinct product, or where customers do not yet fully understand the impact and benefits of your product. Value-based pricing allows companies to build a deeper understanding of their customers' business drivers, align their goals with the customers' goals, and, ultimately, share in each others' attained value in a way that isn't possible with traditional pricing approaches.
Value-based Pricing requires a significant change in the way most organizations go-to-market. It requires rethinking everything from customer segmentation to product marketing to sales and account management in order to support a new and unique market positioning. Core business processes must be realigned and new business process established. These new processes have deeper analytical capabilities embedded through the organization, especially in Sales.
Topics covered include a comparison of common pricing strategies, principles to value-based pricing, value-based pricing strategy approach, Pricing Staircase framework, Value Ceiling, customer segmentation, pricing structure, Benefits Matrix.
This PPT delves into the intricacies of implementing a value-based pricing strategy, outlining a comprehensive 4-phase approach. It emphasizes the importance of determining the value ceiling, creating customer segments, determining an equitable split, and developing a robust pricing structure. The step-by-step methodology ensures that businesses can effectively align their pricing strategies with customer value, thereby maximizing profitability and customer satisfaction.
The presentation also includes a detailed case study on an automated call center solution, showcasing the practical application of the value-based pricing strategy. This real-world example highlights how advanced speech recognition technology can enhance customer interactions and operational efficiency. Key performance metrics and areas of value creation are meticulously analyzed, providing actionable insights for businesses looking to adopt a value-based pricing approach.
Got a question about the product? Email us at support@flevy.com or ask the author directly by using the "Ask the Author a Question" form. If you cannot view the preview above this document description, go here to view the large preview instead.
Source: Best Practices in Pricing Strategy PowerPoint Slides: Value-based Pricing Strategy PowerPoint (PPT) Presentation, PPT Lab
OVERVIEW
(PPT)
PPT Lab is a presentation design firm specializing in business frameworks and PowerPoint templates. Our team is comprised of ex-consultants from McKinsey, E&Y, Bearing Point, and boutique consulting firms. We have worked with hundreds of clients globally, ranging from mid-size manufacturing companies to global Fortune 500 conglomerates. [read more]
Ask the Author a Question
This document is available as part of the following discounted bundle(s):
Save %!
Product Strategy
This bundle contains 3 total documents. See all the documents to the right.
Pricing Strategy Consulting Frameworks Cost Reduction Assessment Growth Strategy Strategy Development Product Strategy Workshops B2B Management Accounting Costing PowerPoint Diagrams Compilation Value Chain Analysis Gap Analysis Consulting Training Strategy Frameworks Chief Strategy Officer Maturity Model Small Business Entrepreneurship Strategy Deployment & Execution Porter's Five Forces Mobile Strategy Cyber Security Customer Experience Business Transformation Digital Transformation Financial Modeling Business Case Development Business Case Example Product Launch Strategy SaaS
![]() |
Download our FREE Strategy & Transformation Framework Templates
Download our free compilation of 50+ Strategy & Transformation slides and templates. Frameworks include McKinsey 7-S, Balanced Scorecard, Disruptive Innovation, BCG Curve, and many more. |