Assessing Customer Financial Impact of Product Features


This PPT slide, part of the 47-slide Value-based Pricing Strategy PowerPoint presentation, outlines the second phase of a six-step process focused on identifying the value ceiling for customers. The primary task here is to determine how various features of a solution impact the customer's financial performance. It emphasizes the need to create an economic model first, which serves as the foundation for this analysis.

The slide clearly indicates that understanding the link between product features and the customer's bottom line is crucial. This connection is articulated through the lens of Key Performance Metrics or Indicators, which are essential for measuring success and value creation from the customer's perspective. The implication is that a thorough analysis of these metrics will inform how the product can be positioned to maximize its perceived value.

The visual flow from creating an economic model to determining the bottom-line impact suggests a structured approach. It highlights the importance of systematically assessing each feature's contribution to the overall financial outcome for the customer. This method not only aids in developing a compelling business case, but also ensures that the pricing strategy aligns with the value delivered.

For potential customers, the key takeaway is the emphasis on quantifying value in a way that resonates with their financial objectives. This approach can lead to more informed decision-making regarding investments in solutions that genuinely enhance their performance. Understanding this phase is critical for any organization looking to leverage their offerings effectively.



This slide is part of the Value-based Pricing Strategy PowerPoint presentation.

Designed by a firm of ex-consultants from McKinsey, E&Y, and Bearing Point, this presentation breaks down a consulting framework on Value-based Pricing. Value-based Pricing is a superior approach to Cost-based and Competitive Pricing.

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