Without a coherent pricing strategy in the B2B arena, your customers and potential customers may be confused about how your products and services deliver value for them.
- Without a coherent pricing strategy,…in the business to business, or B2B arena,…your customers and potential customers…will be confused about how your products…and services deliver value.…B2B pricing is more complex than B2C pricing,…because the organizational buying unit…is usually more complex and sophisticated…than are individual consumers.…When companies buy products and services,…they're buying a collection of benefits.…
You can categorize those benefits into three types.…Functional benefit refers…to a product's physical performance.…For example, when buying a car,…functional benefits include the size of the engine,…passenger seating or how the car handles.…Economic benefits are related…to saving money or saving time.…With a car, economic benefits would include…the miles per gallon, annual maintenance cost,…or perhaps the car's reliability.…
And finally are emotional benefits.…These are related to the psychological feelings…you get when using a product.…For a car, it would include things…like status or self-esteem.…
Released
3/27/2018Drew explains how to think about price when it comes to B2B business transactions-and understand the important relationship between cost, price, and value. He also shows how to define value, identify stakeholders, and link pricing to your overall marketing strategy. Plus, learn to use tools such as the value ladder and pricing tiers to gain leverage in price negotiations.
- What is B2B pricing?
- Defining value
- Linking marketing and pricing
- Creating pricing tiers
- Managing pricing competition
Share this video
Embed this video
Video: Why B2B pricing is important