Chapter 5
Antidotes to Price Pressure
What customers really want is a better product for free.
—POINTY-HEADED LADY IN DILBERT CARTOON
Price pressure is typically a story about villains. Typically, the villains are said to be competitors or customers. Sometimes the villain is an aging or inadequate product. Sometimes the villain is a misaligned baseline price level and uninspired structures. No doubt some of this is true some of the time.
Still, the villains are part of a normal set of conditions. Customers are supposed to minimize cost; competitors are supposed to try and eat your lunch. Your price structure is not ideal or you would not be reading this book. The question is how can your company minimize that pressure?
To begin with, let’s review ...
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