Customers with lower willingness-to-pay aren’t always willing to settle for lower value. A small shop doesn’t always have fewer needs than a large enterprise. If that’s true for your market, failure to change price without changing the product will force you to pitch to the middle. This means losing profitable low-end business, and under-monetizing large accounts. Price metrics and fences are potentially the answer to this issue, but if your selections are seen as unfair by the customer or are difficult for sales to justify, you could face a serious backlash.
- Competitor price metric/fences approaches
- Price metric/fences options
- Evaluation criteria
- Price metric/fences scoring
With this phase completed, it is time to move on to Phase 9: Packaging.