If The Price Is Right

Setting the correct ‘sell-price’ is a critical decision for any product or service.

If the price is too high, it will negatively impact sales, costing the company valuable revenue and wasting leads and marketing dollars.

If the price is too low, it will negatively impact margin and limit growth opportunities.

The ‘sweet spot’ in pricing is achieved when the vendor believes they may have sold too cheaply and the purchaser thinks they may have paid about right or a little over.

How do you determine your optimum price?

Contributor:

Michael Field, Managing Director for Michael Field Pty Ltd.