Comments on: The 7 most common questions I get about price: answered.

By: strategyaudit

strategyaudit — Mon, 25 May 2020 10:29:16 +0000

Peter,
I am very glad that my musings have added some value to you.
Cheers
Allen

By: Peter Crane

Peter Crane — Mon, 25 May 2020 09:04:56 +0000

Thanks Allan,

The question is meant to be difficult, and your final sentence hits the mark immediately. No single, ‘sure fire’ answer to had, for sure.

The Drivers article is a good redirect, thank you.

I guess thee is also the small issue of ego involved on the (prospective) buyer’s part. Do they know they need help? Are they going to ask for help (if they know they could use it?) What will the Board say if “I” show “weakness” in asking some one lese to help? All rather tricky issues to navigate.

Thanks for the article and response, both appreciated.

By: strategyaudit

strategyaudit — Mon, 25 May 2020 00:59:16 +0000

Peter, a difficult question to answer, as we are dealing with intangibles, which adds a significant dimension to the negotiation beyond what happens in the case of a physical product.
In that case, branding, context, and the nature of the relationships that exist play a large role.
My best advice is perhaps contained in the earlier post on the 5 strategic drivers of price, to which I linked in this post. Considering the elements of the drivers in your context will give some sort of roadmap.
Having said that, i have been working in this area for 25 years, and still struggle with it in my own business.

By: Peter Crane

Peter Crane — Mon, 25 May 2020 00:27:07 +0000

Allan,

A very good explanation of the process and psychology for goods. What comments and follow up do you offer on the same topic for services, which are inherently more ‘value’ driven?