Value first then price : quantifying value in business to business markets from the perspective of both buyers and sellers

Value-based pricing, pricing a product or service according to its value to the customer rather than its cost--is the most effective and profitable pricing strategy. Value First, Then Price is an innovative collection that proposes a quantitative methodology to value pricing and road-tests this methodology through a wide variety of real-life industrial and B2B cases. This book offers a state-of-the art and best practice overview of how leading companies quantify and document value to customers. In doing so, it provides students and researchers with a method by which to draw invaluable data-driven conclusions, and gives sales and marketing managers the theories and best practices they need to quantify the value of their products and services to industrial and B2B purchasers. The 2nd edition of this highly-regarded text has been updated in line with current research and practice, offering three new chapters covering new case studies and best practice examples of quantified value propositions, the future of value quantification, and value quantification for intangibles. New cases are included throughout, which have won recognition from the Case Centre. With contributions from global industry experts this book combines cutting edge research on value quantification and value quantification capabilities with real-life, practical examples. It is essential reading for postgraduate students in Sales and Marketing with an interest in Pricing Strategy, sales and pricing specialists, as well as business strategists, in both research and practice. Value-based pricing – pricing a product or service according to its value to the customer rather than its cost – is the most effective and profitable pricing strategy. Value First, Then Price is an innovative collection that proposes a quantitative methodology to value pricing and road-tests this methodology through a wide variety of real-life industrial and B2B cases. This book offers a state-of-the art and best-practice overview of how leading companies quantify and document value to customers. In doing so, it provides students and researchers with a method by which to draw invaluable data-driven conclusions and gives sales and marketing managers the theories and best practices they need to quantify the value of their products and services to industrial and B2B purchasers. The second edition of this highly regarded text has been updated in line with current research and practice, offering three new chapters covering new case studies and best-practice examples of quantified value propositions, the future of value quantification, and value quantification for intangibles. With contributions from global industry experts this book combines cutting-edge research on value quantification and value quantification capabilities with real-life, practical examples. It is essential reading for postgraduate students in sales and marketing with an interest in pricing strategy, sales and pricing specialists, as well as business strategists, in both research and practice. Cover 1 Half Title 6 Title 8 Copyright 9 Contents 10 List of editors 13 List of contributors 14 Part I Introduction 18 1 Introduction Quantifying and documenting value in business markets 20 Part II Selling value Value quantification capabilities 32 2 Value first, then price The new paradigm of B2B buying and selling 34 3 Interview Processes and capabilities for value quantification 43 4 Muddling through on customer value in business markets? 55 5 Interview Nurturing value quantification capabilities in strategic account managers 65 6 Salesforce confidence and proficiency – the main cornerstone of effective customer value management 73 Part III Selling value – best practices in value quantification 82 7 Value quantification – processes and best practices to document and quantify value in B2B1 84 8 Quantifying your value so customers are willing and able to pay for it 98 9 An inside look at value quantification of competitive advantages How industry leaders prove value to their customers 113 10 Quantifying the value of services 123 11 Quantifying intangible benefits Best practices to increase willingness to pay while creating longer-lasting customer relationships 128 12 Toward a shared understanding of value in B2B exchange Discovering, selecting, quantifying, and sharing value 136 Part IV Buying on value – value quantification and B2B purchasing 150 13 Value first, cost later Total value contribution as a new approach to sourcing decisions 152 14 Interview Selling value to purchasing 166 15 Using best value to get the best bottom line 170 16 Value selling The crucial importance of access to decision makers from the procurement perspective 183 17 The sourcing continuum to achieve collaboration and value1 197 Part V Value quantification and organizational change management 208 18 Interview Implementing value quantificationin B2B 210 19 Interview The ring of truth – value quantification in B2B services 216 Part VI Buying and selling on value –value quantification tools 232 20 A question of value Customer value mapping versus economic value modeling1 234 21 Why start-ups should consider using value propositions 242 22 Creating and sustaining competitive advantage through documented total cost savings 257 Part VII Epilogue 266 23 A call to action Value quantification in B2B buying and selling 268 24 Quotes and statistics to help you on your value-selling journey 270 25 Interview The present and future of value quantification 272 Index 280 hinterhuber;,strategic;,account;,quantication;,tool;,premium;,customer;,insight;,manager;,pricing;,pricing,strategy;,business,to,business;,B2B hinterhuber,strategic,account,quantication,tool,premium,customer,insight,manager,pricing,pricing strategy,business to business,B2B "Value-based pricing-pricing a product or service according to its value to the customer rather than its cost-is the most effective and profitable pricing strategy. Value First, Then Price is an innovative collection that proposes a quantitative methodology to value pricing and road-tests this methodology through a wide variety of real-life industrial and B2B cases. This book offers a state-of-the art and best practice overview of how leading companies quantify and document value to customers. In doing so, it provides students and researchers with a method by which to draw invaluable data-driven conclusions, and gives sales and marketing managers the theories and best practices they need to quantify the value of their products and services to industrial and B2B purchasers. The 2nd edition of this highly-regarded text has been updated in line with current research and practice, offering three new chapters covering new case studies and best practice examples of quantified value propositions, the future of value quantification, and value quantification for intangibles. New cases are included throughout, which have won recognition from the Case Centre. With contributions from global industry experts this book combines cutting edge research on value quantification and value quantification capabilities with real-life, practical examples. It is essential reading for postgraduate students in Sales and Marketing with an interest in Pricing Strategy, sales and pricing specialists, as well as business strategists, in both research and practice"-- Provided by publisher Value-based pricing – pricing a product or service according to its value to the customer rather than its cost – is the most effective and profitable pricing strategy. Value First, Then Price is an innovative collection that proposes a quantitative methodology to value pricing and road-tests this methodology through a wide variety of real-life industrial and B2B cases.This book offers a state-of-the art and best practice overview of how leading companies quantify and document value to customers. In doing so, it provides students and researchers with a method by which to draw invaluable data-driven conclusions, and gives sales and marketing managers the theories and best practices they need to quantify the value of their products and services to industrial and B2B purchasers. The 2nd edition of this highly-regarded text has been updated in line with current research and practice, offering three new chapters covering new case studies and best practice examples of quantified value propositions, the future of value quantification, and value quantification for intangibles. With contributions from global industry experts this book combines cutting edge research on value quantification and value quantification capabilities with real-life, practical examples. It is essential reading for postgraduate students in Sales and Marketing with an interest in Pricing Strategy, sales and pricing specialists, as well as business strategists, in both research and practice. Value-based pricing pricing a product or service according to its value to the customer rather than its cost is the most effective and profitable pricing strategy. Value First, Then Price is an innovative collection that proposes a quantitative methodology to value pricing and road-tests this methodology through a wide variety of real-life industrial and B2B cases. This book offers a state-of-the art and best practice overview of how leading companies quantify and document value to customers. In doing so, it provides students and researchers with a method by which to draw invaluable data-driven conclusions, and gives sales and marketing managers the theories and best practices they need to quantify the value of their products and services to industrial and B2B purchasers. The 2nd edition of this highly-regarded text has been updated in line with current research and practice, offering three new chapters covering new case studies and best practice examples of quantified value propositions, the future of value quantification, and value quantification for intangibles. With contributions from global industry experts this book combines cutting edge research on value quantification and value quantification capabilities with real-life, practical examples. It is essential reading for postgraduate students in Sales and Marketing with an interest in Pricing Strategy, sales and pricing specialists, as well as business strategists, in both research and practice. **Winner of the Overall Case Award 2014** **The Case Centre best selling case 2013 - 2017** Value-based pricing—pricing a product according to its value to the customer rather than its cost—is the most effective and profitable pricing strategy. Buyers need to evaluate the monetary benefits of a product against the price of its competitors. Sellers justify their price points through documenting the value of a product, emphasising its superiority against competitors and therefore justifying the premium price. __Value First then Price__ is an innovative collection which proposes a quantitative methodology to value pricing, and road-tests this methodology through a wide variety of real-life industrial cases. It provides a state-of-the art and best practice overview of how leading companies quantify and document value to customers. In doing so, this book provides researchers with a method by which to draw invaluable data-driven conclusions, and sales and marketing managers the theories and best practices they need to quantify the value of their products to demanding, hard-nosed industrial purchasers. With contributions from global industry experts this book provides cutting edge research on value quantification and value quantification capabilities with real-life, practical examples. It will be essential reading for sales and pricing specialists as well as business strategists, in both research and practice. Value-based pricingpricing a product according to its value to the customer rather than its costis the most effective and profitable pricing strategy. Buyers need to evaluate the monetary benefits of a product against the price of its competitors. Sellers justify their price points through documenting the value of a product, emphasizing its superiority against competitors and therefore justifying the premium price. Value First then Price is an innovative collection which proposes a quantitative methodology to value pricing, and road-tests this methodology through a wide variety of real-life industrial cases. It provides a state-of-the art and best practice overview of how leading companies quantify and document value to customers. In doing so, this book provides researchers with a method by which to draw invaluable data-driven conclusions, and sales and marketing managers the theories and best practices they need to quantify the value of their products to demanding, hard-nosed industrial purchasers. With contributions from global industry experts this book provides cutting edge research on value quantification and value quantification capabilities with real-life, practical examples. It will be essential reading for sales and pricing specialists as well as business strategists, in both research and practice.