By Debbie Nicholson, Think-to-INK!
Do you capture the value you provide your customers?
Value is commonly defined as the regard that something is held to deserve; the importance, worth, or usefulness of something.
Why do we deliberately give ‘services’ away or charge practically nil (a.k.a. zero) for it? I have heard time and time again, “the customer is not going to pay that” or “our competitor’s pricing is much lower” (blah, blah, blah).
So, we start manipulating our numbers in a downward spiral, undermining our value, employees, owners, customers, vendors, and the business’s future.
One of two things happened here...
- We do not believe our overall value is worth the cost! (that is a big problem)
- Or, we do not continually impress upon our clients the value we provide! (even a bigger problem)
Oh sure, I get it – when business is slow, and our employees are standing around with nothing to do – we justify lowering our costs (lowering our value) to get the work in-house. No argument there…however, when that thinking becomes an estimating procedure, we have much larger concerns that need to be addressed and quickly.
A few thoughts:
- Are we discovering what problems are troubling customers -- and then offering great advice?
- Do we understand the financial benefits our product offers customers?
- Can we positively identify our company’s strong suits and justify the expense?
- Have we asked our customers how they define value?
- Do our services and products exactly meet the customer’s most important needs?
- Do our products and services we contribute warrant the cost?
We must continually create extraordinary value in the eyes of our customers. The requirement of thinking differently for us and them is essential to retain loyal customers and win larger projects -- hopefully with higher margins -- which will directly impact financial rewards.
Have we become obsessed with focusing on our own internal navigation -- that we are not obsessed with the value and positive impact we can have with our customers.
In other words, do not sell yourself short!
Continued Blessings to each of you for a successful 2021!