In today’s economy it is essential to differentiate yourself from competitors. By quantifying the value provided, you can avoid selling products as commodities, achieve higher margins, and build a healthy long-term relationship. If you do not quantify value, the account may not recognize the value, may want to lowball you on price, and not see many reasons to remain loyal.
What are possible ways to add value?
Without knowing this you may be guessing. There are four basic categories of value you can deliver:
- Increase their revenue
- Lower their customer cost
- Reduce customer capital requirements
- Reduce customer business risk
How do I identify value-added services?
In order to move past a commodity transaction, you must identify all the measurables that accompany the services or goods you are delivering. By identifying and quantifying such value-adds you will be able to differentiate you and your company from competitors. We believe that just about everything can be quantified. As the saying goes: time = money. So are: safety, convenience, capability, simplicity and feelings. Specific items that fit into these categories may include the following: easier, faster and safer to use, more reliable, more effective technical support, dedicated people, warranty protection, and risk sharing.