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Costs don’t matter
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Yeah, they do matter, but not necessarily when pricing. If they did (costs), the price of any SaaS would need to be near to zero, since the cost is marginal because it's scaled up. If they did, the price for a flight ticket would need to be lower the fuller the plane is. Flights get all of their costs covered at a certain quantity of tickets sold (and that’s less than 30% of the seats). Hotel rooms would have to be almost given for free the closer to the end of hotel-day or when they’re getting over X number of rooms sold. Yet, they get more expensive. Restaurants and bars would have to give food away and/or tons of complimentaries, since their drinks are 400%+ in price compared to their costs. Or are you paying for something else? |
Rod Aparicio
Get one tip, question, or belief-challenge that just might change the way you market, to help your customers buy. A *daily* email for b2b founders on improving your business —without the bullshit.
Once again, Genevieve Hayes came up with a follow up to yesterday's message: The Elephant. "I think Jerry Seinfeld expressed this one best:" This is what got me to stop passing my problems forward and making them the problems of "future me". Mic drop, Genevieve.
There are situations that can be VERY stressful —within your business, with your prospects, with your clients. Kicking them down the road to not deal with them feels tempting, and you might even feel like they're avoidable. They're not. Sometimes they're an elephant stomping and charging your way. Because you put your hands in front of your face won't make them disappear —and certainly won't stop them. Make the decision. Take the decision. You already know what to do. And it's a simple...
A discussion with Dr. Genevieve Hayes —data science expert and long-time friend-of-the-list— about context inspired this daily. We (humans) LOVE making up stories. When we don't have a reference point, our imagination flies. Give that reference point to your customers. So that you lead where their imagination can go wild. :)