Photovoltaics Masters Institute
Who Gives More?!
Does The Price Matter?
A well-designed pricing strategy is not about offering a lower price than the competition. It is a conscious and analyzed action based on many variables.
Now that we know the right business model for our company and the best sales tactic for each of our traders, we can set a pricing strategy. Although the topic may seem simple enough, establishing a good pricing strategy is one of the key factors in selling success. The price is one of the elements on the basis of which the offer will be compared with that of the competition.
Offering a lower value than the competition may be perceived as an offer with a lower quality of service. On the other hand, if the price is too high, the offer may be rejected as too expensive.
So how to properly choose a pricing strategy? What to consider when setting the final price? What discounts do I offer?
The Right Pricing Strategy Is Often Confused With Offering The Lowest Price! In Fact, A Higher Price Is Associated With A Higher QualityOf Services!!
First of all, when establishing a pricing strategy, it should be remembered that the price is not only the value that we earn when we cover all costs. Properly selected price is much more important functions that determine the success of the sale. We have highlighted the most important ones below.
The price as a product value for the customer!
When setting the price, we should not be guided by the costs incurred by us, but set it depending on the value of the product for the customer. By offering a higher price, at the same time, we must offer a higher quality of our services, because this is what a higher amount will be associated with. Customers are ready to pay more to gain confidence and guarantees of high quality and professionalism of the service provided. Don't be afraid to set a higher amount than the minimum if you are sure you are offering a quality product.
Price as a competitive advantage!
Many people, when setting price as a way of gaining a competitive advantage, will choose to reduce the price as much as possible. A much more effective strategy is to offer an amount slightly higher than other companies and thus become a company offering a premium product - a product of higher quality than the competition. However, you must remember to use this strategy to actually offer a top-shelf product! The quality must reflect the high price. If we offer low quality at a high price, we will lose customers very quickly.
Price as a special way of treating the customer!
When deciding to offer a higher price at the beginning of talks with the client, we have a very effective pricing strategy at our disposal - a discount strategy. By offering the customer a special discount on the original price, we can give the impression that we treat him individually and personally, and the offer we present to him is not one of many, but a special offer prepared only for him. By making our potential client feel special, we can gain their sympathies, and this is a great competitive advantage
Prepare The Offer So That The Customer Feels Treated Personally, And As If The Price Was Special Only For Him!
In theory, determining the best pricing strategy would seem very simple. However, we need data on our customers, the number of closed deals, prices and discounts that were offered for each successful and unsuccessful sale.
By using programs that have Artificial Intelligence Algorithms implemented, we can obtain a deep analysis of such data and on their basis determine the best pricing strategy.
The program focusing on deep data analysis is EasySolar, with very extensive Artificial Intelligence Algorithms that constantly analyze the entire sale, along with all variable factors that may affect the success or failure of the transaction, including price and discounts.
Using the EasySolar system for in-depth analysis, you have at your disposal:
that will help you have constant control over all variables and react quickly to changes.
which constantly analyzes the work of your team and sales, determines, on the basis of all factors and changes, the most common and effective sales path in your company, including the best pricing strategy.
Deep Sales Process Analysis,
thanks to which you will find out how even the smallest change in a given factor in the sales process affects conversion rates, it may be, for example, offering smaller discounts, because you know exactly how individual actions affect the customer's decisions.