Customers

Marketing

 

Make the Competition Irrelevant

 

John Mehrmann

    

  

 

 

Plan, Do, Measure and Adjust

Carefully plan your three offers and the value proposition for each. Once you introduce your three offers, measure the success rate of each option by the corresponding sales attach rate. Typically the "good" offer should be about 25% of your sales, and the "best" offer is normally only 15% of your sales. Some customers will want the lowest cost option, and some will want to be exclusive and purchase the best option regardless of price. The middle of the road "better" offer is customarily the lion share  at 60% of your total sales. Most customers are willing to pay a little more for quality, speed or convenience associated with the "better" offer if presented properly, even if they do not want to pay the high price of the "best" option. The "better" alternative gives customers a chance to do a little better than "good", but still feel that they saved money as compared to the outrageously priced "best" option.

    

 

 

If you do not experience the desired result in mix of sales then it may be necessary to adjust your plan or your value propositions. In any case, as long as the customers continue to make a selection between your options, the competition is irrelevant. Your customers can get what they want, and they will remain your customers.

 

 

 

 

Words of Wisdom


"Solve problems positively. Ask yourself, "What good things this problem brings to me? Let me list of them all."" ~ Valim Kotelnikov, Founder of e-Coach & Innompics


"The job can't be finished only improved to please the customer." ~ Edward Deming


"Exceed your customer's expectations. If you do, they'll come back over and over. Give them what they want and a little more. Let them know you appreciate them." ~ Sam Walton