One of the most difficult tasks that a sales manager is faced with, is whenever asked by the top management to provide sales forecasts. But why forecasting sales data should be such a problem? After all, the performance of sales teams is probably the most measurable in an organisation and even daily, the result of the activities of the salespeople is there for all to see.
Read more: How to Do Sales Forecasting Without Using a Crystal Ball
A common method that is used to determine the price of a product/service, is the competitor-based pricing model. This is a relatively straightforward process, in which basic research of the competition is required in order to define the price range, and is also considered a low-risk strategy, as the chances of going wrong are slim. So, everything is easy and the possibility of making a mistake is low, but is there a catch?
The idea behind “better-faster-cheaper” is widely known, but for those of you that are not familiar with the concept, the premise is that you can choose any two of the above, but you can’t have all three at the same time.
Is it possible to define Value? How can we measure it? Is there a way to calculate what our products/services worth to our customers? Nowadays, the ability to pinpoint the value of our offerings to our clients has never been more vital. Moreover, we constantly hear from organisations about the importance of value propositions, but according to Frow & Payne, less than 10% of enterprises have developed and communicated in a successful way an actual value proposition.
In the modern Sales environment, competition has grown in numbers and is more aggressive, the differentiated products and services of yesterday are the commodities of today and price issues are a constant problem. Moreover, according to recent studies, 83% of B2B buyers say that it is very important to interact with a salesperson who has intimate knowledge of their company’s products/services and 79% of them claim that the interaction with a sales rep who is a trusted advisor that adds value to their business is highly desirable.