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    Supplier Pricing Principles For Channels

    2014/6/13 21:36:00 104

    SuppliersChannelsPricing

    some company It can be flexible in complex business ecosystems and promote its own growth. Most of these companies have one thing in common: their sales patterns keep pace with the times. We call the sales model they use as an agile sales model, the basic element of which is to sell through more extensive channels, including intermediaries, other channel partners, and even customers, to improve the company's influence and growth.


    The core principle of agile sales mode is to make full use of the sales force that does not belong to the company, which means that the company must cultivate a wide range of new capabilities. For example, how should a company set the right price to maximize sales and profits? For companies adopting agile sales mode, the key is to achieve "channel harmony".


    Companies that have taken the right pricing strategy and made the right price have taken the first step: they subdivide customers and channels, determine the overall pricing strategy, make them an integral part of brand and product strategy, and determine the best price for each subdivision channel and customer; after that, they aim at profit rather than income, and implement negotiations.


      The author thinks that the channel Price There are four principles:


    First, design price points. Many companies design price points based on market share (rather than production cost). Some companies design price points according to customer choice and channel cost.


    Second, reconsider the pricing structure. Customer needs will change over time, so companies must constantly innovate in pricing.


    Third, determine the elasticity of demand. The most essential element of pricing strategy can be summarized as "price elasticity of demand". This involves the company's understanding of the ultimate customer needs and the impact of price changes on demand.


    Fourth, ensure that pricing is in line with customers' expectations of products, services and channel prices. Through developed Internet Customers can easily find better prices, so how to meet customer expectations is very important.

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