especially in the present market scenario,
has become very crucial to maintain a
respectable bottomline (& topline!).
These challenging conditions need, a radical
different approach to price your products
(& or a service).
are 5 basic guidelines, on how you can
price your products for the demanding
Don't base your price only on based of
costs. Take customers' perceptions of
value. Otherwise you may end up with a
price that is too high or low.
Dont quote market price. Identify
areas where your product is unique &
adds better value to the customer.You
can quote higher.
You won't have same profit margin across
different products /services. Try to work
out right product mix offering, to achieve
a total optimum profit margin.
All customers are not same. For same product,
why you can't have different prices depending
on customers' perception of value you
Review (not neccessary change)
the prices at least once every 6 months.
The costs, sales volume & value perception
by customers are dynamic, requiring price
the Sales-Marketing & not the finance
department that should have a final say
is a fact & pricing is a policy.