At this time of year, you could be forgiven for feeling a bit of panic and slashing your prices. But should you?
We ask the question not to be provocative but to start you looking at the perceived value of your products and services and what indicators there are that this is being eroded.
So, what is this ‘perceived value’ and how can something so intangible have such a dramatic effect on your business.
Recently we saw a large national company start to receive a lot of negative comments and questions about every little thing they posted and importantly every invoice they sent. The words ‘sharks’ and ‘money grabbers’ were being attached to their name. So, had they inflated their prices, were they invoicing for services that were previously free? The quick answer is in fact no. All that had changed was the perceived value that their customers attached to their offering.
From their experiences we can conclude that as soon as you start seeing comments with ‘how much?’ in them, take this as a Red-Flag that something has gone wrong in how your customers feel they are being treated or in your marketing message.
Conversely, certain brands have made a point of making sure that their customers have a great experience and that all marketing messaging is around quality and technology. Without mentioning any names (packed in a white box), we are all willing to pay more for their products than their competitors simply because of the perceived value in the brand.
So is now the time to reduce prices? or is it more the time to look at your offering and make sure that you tell everyone, that the price you are charging offers fantastic value for money given the quality, service and reliability that you are offering.
Creatively Yours help Small Businesses and Start-Ups through our Helponomics to be successful online and highlight those areas that could bring you more sales. For more information why not drop us a line at firstname.lastname@example.org, use our messenger, or simply call us on 01536 23 98 98