Posted by Andrew VanderPloeg
We in the advertising world talk a lot about value.
One lesson that I’ve learned and had reinforced repeatedly is that the value your customer places on a project or deliverable is directly related to how much they paid for it.
To be clear, in no way is that an argument to charge people exorbitant fees so they really appreciate and value the process. However, on the other end of the scale, if you’re thinking about price reductions as your marketing strategy, you might want to think again.
For instance, if you give someone something for free, it is commonplace that they will not value the process, deliverable or your time. Once there are dollars on the line, the project takes on a different level of importance. It’s been established on an investment – an investment that requires attention (further investment) to realize its potential.
That’s not to say that price shouldn’t be considered at all. It definitely needs to be. But consider it in relation to value and quality. Think about the fact that perhaps, it’s not your price that’s wrong, it’s your product / service or your communications around it.
If people don’t think your product or service or valuable, they won’t pay for it.If you don’t price like it is valuable, it won’t be.