The Components of Value

Just as there are 4 Ps of Marketing, so there are 5 Cs of Value:
* Comprehend - The value to the customer
* Create - Value for the customer
* Communicate - Value with the customer
* Convince - The customer that the value is worth paying for
* Capture - Your share of the value using a value-based price; not one based on cost
   or effort

Most customers have no incentive to capture data on the value your work will deliver, largely because they buy what you do infrequently.  But you sell frequently, so you need to develop the skill and competence to comprehend, create and communicate value.

And it must be a core competency right across your company, the ability to help the customer understand value for themselves.  This is another of the most important points in the Concept of Value!

“The ability to help your customers understand value for themselves
  must be a company-wide core competency”

When we make a purchase, we consider value, not the product itself.  We deliberate on what the product will do for us.  Mostly this is anything but obvious.  Consider what marketing impact you would make if you made this obvious to your customers!  Don't complain that they don't understand what you do.  It's your job to make it clear to them, so they do!

You have to help them understand value, and as part of doing this, you must understand why they chose you and choose to stay with you.

If you agree with these thoughts and would like to find out more about pricing your services on the value your customers get out of them so you can make sales without selling and get paid what you're worth, visit www.sws3.co.uk to download 30 more free practical ideas you can implement straight away in your business.

Service providers who charge for their time or their materials, or whose prices are influenced by their competitors can find out how to get paid what they're really worth at www.sws3.co.uk