After all, the wrong price is one of the biggest problems for a company. And it can even lead to bankruptcy. Therefore, knowing how to set the price of a product or service is one of the most decisive parts of a business's success.
To achieve the perfect equation, good planning is necessary. Therefore, continue reading this content and learn how to determine the pricing of your business' products and services and how positioning research will help you succeed. Check it out!
Pricing: how to get the ideal price
This is a question that many managers ask. And to reach the ideal number, many factors need to be evaluated, such as:
the company's resources (capacity, talent, cash flow, etc.);
product cost;
how much you will need to invest (money, human capital, time);
how much your customer is willing to pay.
All of these issues must be taken into account when pricing vp business development email lists your company’s services.
However, although these factors are extremely important when defining the pricing of your product, they should not be the only ones to be considered when deciding the price.
Other elements can influence this decision-making process. And we will explain what they are.
Calculate taxes
It's no secret that companies pay a lot of taxes. And this influences the final price of the product or service they are offering.
Therefore, when you set the price – already knowing the total costs – add taxation to the equation.
Stay informed about the fees the company pays to operate, produce and sell. This knowledge will greatly help with the final result.
Set the profit margin
After answering all these questions, you should now ask yourself: how much do I intend to profit? Once you have done this, do the math until you reach the ideal price. But remember:
Regardless of the quality of your product, don't rush into it.
It is extremely important to represent a reasonable margin for the income to be worthwhile. However, do not price your service so high that the consumer refuses to pay.
The other side is also valid. Nothing is too low that the costs don't compensate. After all, it's all a question of balance.
Conduct positioning and market research
With everything done and in the know, it's time to do some research to understand where the pricing plan is positioned in the market.
Study and get to know your competition. What is their price? How does the consumer accept this price? What can you do to compare yourself to them and beat them?
These questions can only be answered through market research. And don't forget your main target: your customers. Try to understand what they want.
Assess what they want, need or intend to buy from what you are offering.
The customer is your main partner. Evaluate. See if he is willing to pay a higher price for a certain product, and gradually reduce the price with each new question.
In this, you will find out what value people start to think is fair to pay.
Position your brand
Last but not least, position your brand . After all, you can't just focus on numbers. The ideal price also takes into account factors such as the image of the company/product and its positioning in the market.
Especially in an increasingly competitive scenario, it is therefore normal to need to achieve greater results.
At the same time, there is constant pressure to reduce costs and use the budget wisely.
Can you relate? In the midst of all this, marketing management may still be left aside.
If this scenario occurs, competitive intelligence is compromised, as are other results. The path to success, then, includes taking care of all the steps, from planning to execution, to reach the right levels.
Hence the importance of obtaining strategic marketing management.
Specialized team
In this scenario, price, positioning and brand image need to be aligned. All of this demonstrates the need for high-performance marketing management.
At the same time, not every business is prepared to reach its full potential in this regard.
In general, hiring an advertising agency is seen as a positive move. The company has a specialized team and all the necessary tools.
This way, it is possible to take advantage of the full potential and explore opportunities in the best way.
To achieve this performance, it is essential to carry out a good analysis. Check whether the agency offers the desired services, as well as whether it has the appropriate structure.
Check the service and understand whether the company meets your specific needs. This way, you can get the best performance.
With marketing management, you can act strategically and have more control. In addition to applying these tips, it is worth having the support of a prepared and quality agency.
Discover the services offered by Partners Comunicaçã o Pro Business and see if your needs are met!
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