Implementing a pricing strategy isn’t just about deciding what percentage to use to increase fees. Pricing is a marketing issue and is just one component of the traditional 4 “P’s” of the marketing mix: place, promotion, product, and price, all of which must be considered in price determination. Value-based pricing intuitively makes the most sense in setting prices. Value-based pricing, however, is hard—how do you determine how much value a particular service and the related client experience provide to a pet owner? And value isn’t always about the service; the value may be in the pricing strategy itself. Because of this, not many practices clearly understand how to integrate value considerations into their pricing decisions.
Other factors besides value must always be considered too in making a pricing decision. Inputs to that decision include costs, customer value, reference prices, and the business’s value proposition. Price execution must also be considered: i.e. Are prices regularly being discounted? What is the role of payment options?
Although few practices will completely revamp all of their prices at a single time, increased understanding of pricing strategies can help practices improve what they are doing.
The workshop will address the following issues and topics that are key to implementing an effective pricing strategy:
- Scrutinizing your practice: is pricing a problem? Do you need to change your approach?
- Identifying components of the pricing decision framework and how to apply them to your practice
- Understanding specific strategies—how to implement and why they appeal to consumers
o Functional vs. hedonic benefits
o Pricing bundling
o Good-better-best pricing
- Avoiding common pricing mistakes.
- Using reference and market prices.
This interactive workshop will provide numerous opportunities for participants to apply the information to their own situations. Examples and exercises will be included as well.We encourage multiple members from your team to attend together, a discounted rate is offered for additional attendees from the same practice.
Six (6) hours of continuing education are awarded.Link to VALUE-BASED Strategic Pricing Tools and Resources