๐ ๐ฉ๐ซ๐๐๐ญ๐ข๐๐๐ฅ ๐ฐ๐๐ฒ ๐ญ๐จ ๐๐จ๐ง๐ง๐๐๐ญ ๐ฏ๐๐ฅ๐ฎ๐ ๐ญ๐จ ๐ฉ๐ซ๐ข๐๐.
Most companies claim they sell on value, but when I ask how they measure it, the answers get vague๐
โถ๏ธ You cannot explain why the price is what it is
โถ๏ธ Sales decks talk about features, not measurable results
โถ๏ธ Proposals look identical to competitorsโ
โถ๏ธ Deals are won on discount, not outcome
โถ๏ธ Average contract values stay low despite high impact
โถ๏ธ Customers anchor on price, not results
โถ๏ธ Renewal conversations start with โCan we get a better deal?โ
โถ๏ธ Expansion revenue stalls because value isnโt quantified
โถ๏ธ Pricing teams revert to what feels safe, not what markets pay
Without clear value metrics, pricing becomes generic and customers focus on cost instead of outcomes.
๐๐๐ซ๐โ๐ฌ ๐ ๐ฉ๐ซ๐๐๐ญ๐ข๐๐๐ฅ ๐๐ข๐ฑ:
Build a Value Driver Tree that connects your product directly to customer financial outcomes.
๐ Start with identifying the business results they care about - revenue growth, cost savings, risk reduction, etc.
๐ Then quantify each value driver you influence with a customer metric - e.g., percentage improvement, time saved, or cost avoided.
๐ Next, translate outcomes into pricing units. Find the metric that tracks your contribution: transactions processed, active users, hours saved.
๐ Validate willingness to pay with simple probes: โIf we improved this metric by 20%, what would that be worth to you?โ
๐ Finally, build a customer-facing value calculator. Let prospects enter their numbers and see the potential outcomes.
๐๐ฎ๐ญ๐๐จ๐ฆ๐ = ๐๐จ๐ง๐ฏ๐๐ซ๐ฌ๐๐ญ๐ข๐จ๐ง๐ฌ ๐๐ง๐๐ก๐จ๐ซ๐๐ ๐จ๐ง ๐ฆ๐๐๐ฌ๐ฎ๐ซ๐๐๐ฅ๐ ๐ข๐ฆ๐ฉ๐๐๐ญ, ๐ง๐จ๐ญ ๐ฉ๐ซ๐ข๐๐ ๐ฉ๐๐ซ ๐ฎ๐ง๐ข๐ญ.
Are you pricing on features or quantified value?
Get in touch if you need any help with this.
Kind regards
Mark Peacock
