Читать книгу Pricing Strategies for Small Business - Andrew Gregson - Страница 19

Bids on jobs are planned to leave no money on the table

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Lots of companies bid on many jobs but plan for a predetermined profit, leaving no money on the table.

What this means is that the company plans to lose some bids deliberately and uses the ratio of bid-to-job to test prices every day. If prices are too high, then the ratio of lost bids climbs. If the company gets too many jobs, then it is time to raise prices.

Of course, knowing what the costs are in this scenario is critically important. If prices are generally sliding, then being able to cut costs quickly is important. So too is having flexible communications with the sales team so that cost-added features can be trimmed to bring prices into alignment.

If the company gets 100 percent of its bids, the price is likely too low and money is being left on the table. The services of the company are being sold as a commodity because the sales process has not found a way to find value and to make the company different from the competition. If you and the competition are identical then the only thing left to differentiate you is price.

Pricing Strategies for Small Business

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