August 8, 2019

Anything can be value priced

Sent by Jonathan Stark on August 9th, 2019

…but what do I mean by “thing”?

What I DON’T mean by “thing” are deliverables like:

• A mobile app
• A software feature
• A system architecture
• A data migration plan
• A professional head shot
• A style guide

What I DO mean by “thing” are client outcomes like:

• Closing their next funding round
• Increasing their customer satisfaction
• Decreasing their risk of system failure at scale
• Decreasing their downtime during system upgrade
• Increasing their professional image
• Improving their brand consistency

The deliverables in the first list may lead to the outcomes in the second list, but you can’t value price deliverables.

(ASIDE: This is what people mean when they say, “price the customer not the solution”.)

You value price the desired outcome, and THEN set a price that is less than the value, and THEN pick a deliverable that costs you less to deliver than the price you have set.

Value THEN price THEN cost.

Yours,

—J

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