PHASE 7: VERSIONING

Design product versions that will increases average selling price and what your customers buy.

 

Constructing pricing versions allows up-selling and more profitability. Choices are an integral part of effective pricing strategies. Choices help the customer understand the link between price vs. value and facilitate decision-making. However, poorly constructed product versions (often the “good, better, best” systems designed in the absence of a concrete rationale) can be as much a hindrance as a help. If you version on the wrong dimensions, set the wrong levels or otherwise provide the wrong options, customers won’t buy what you were expecting and your average price level will drop.

Rapid Diagnostic

1. You have quantified the number of product versions you have per customer segment.

2. The number of choices is aligned to the sophistication and preferences of the buyer.

3. The price of each version is different for each customer segment.

4. You have substantiated which features to include in each version with the market.

5. Your versioning structure demonstrates a clear relationship between price and value.

6. Your versioning structure is easy to explain to your customers.

7. Your versioning structure is perceived to be fair by your customers.

8. There is a clear value story around each version (e.g. “Version A is for customers who want X,Y and Z”).

9. There is a low-priced, entry-level version and one or more “strategic” or “decoy” versions to drive customers to a higher price.

10. There is a clear upsell path between low-end versions to high-end versions.

Deliverables

• Competitor Versioning Approaches

• Versioning System Options

• Evaluation Criteria

• Versioning System Scoring

• Conjoint Analysis

• Version Design

STRATEGY AREA
CONTENT TYPE
INDUSTRY
Considerations for Renewals Tool
October 7 2019
Considerations for Renewals Tool
VIEW
GTM Interlock Tool
October 5 2019
GTM Interlock Tool
VIEW
Sales Leader Execution Guide
October 3 2019
Sales Leader Execution Guide
VIEW
previous
1 of 139
right
Loading...
Pricing Strategy
Your Pricing Strategy Is More Than a Plan for New Logos—Why Renewals Matter
At times it may seem that the shiny new toy is always better.  A common mistake that many firms make is ignoring their existing customer base and focusing on marketing to and acquiring new logos.  There’s still value in your...
Read More
Sales Strategy
Is Your Value-Based Pricing Strategy Truly Value-Based?
Value-based pricing is constantly top of mind for B2B executives. Promises of higher profits and market share have been made credible by numerous success stories. Which team wouldn’t want to share in that success? There’s little wonder as to why...
Read More
Pricing Strategy
5 Reasons Why Your Pricing Vendor Needs Sales Expertise
Driving effective cross-functional interlocks is a best practice for B2B organizations looking to accelerate revenue growth. However, one interlock that often gets overlooked in go-to-market transformations is the relationship between Sales and Pricing. Too often, Sales views Pricing as a...
Read More
Pricing Strategy
If You Have No Problem with Generating Revenue, You May Have a Pricing Opportunity
Are you growing faster than your competitors?  Have you started the year off blowing out your plan?  If you answer yes, congrats, you have a good “problem” on your hands.   What CEO doesn’t want to grow even faster? It gets the...
Read More

Stay up to date with our latest insights, benchmarks, strategies & more

CREATE AN ACCOUNT

Join our team of passionate professionals and find your full potential

ALL OPEN POSITIONS