High Rates for B2B Businesses
Unlike in b2c businesses, B2B businesses do not deal with the end user of a product. They specialize in helping b2c customer serve their customers better. Just like any other enterprise, B2B owners have their interests to pursue. However, should clients imagine that you are more focused on your interests rather than theirs, they will easily replace you? Putting your client’s interests ahead of yours is critical here. By this, you will create trust which is a plus towards commanding higher rates.
Gallup Research Company has done studies on how B2B business can increase their profitability. The study found that firms are prepared to pay higher rates if their performance was improving or high due to services offered by the B2B service provider. The investigation showed a high correlation between customer engagement and business performance. The recommendation was that B2B business should enhance customer engagement and they will find it easy to command higher rates.The main reason why customer engagement featured proficient was that it enabled cooperation between the customer and the service provider.
Increased openness made business easily understand the status of their clients at all times. Hence, they could offer advice that is timely and solution to current problems. When the client goes about a situation successfully as a result of the advice given, there is increase in trust. Their services become essential in daily activities of the company. When your services become critical to them, they will need you at all times. At this stage when you are deemed fundamental, you can command higher rates.
It is imperative that you understand your clients in and out to achieve this. You should study the business, clients, and market. When you have this knowledge; you will tailor your services in such a way that your client will move ahead. According to Gallup research and consultancy, you should concentrate on your most important customers. Defining the most important customer is a bit subjective but must incorporate areas that best match your expertise and the most cooperative client. It might as well include areas that you have more clients needing attention.
Achieving success for your customer should be your main goal. In the long run, price competition is not very fruitful. Customers will easily shift to another service provider who charges more but delivers great results. In case you are convinced that pricing is the only way to outdo competition, take time to reevaluate your strategy. It will give you an opportunity to see areas that your customers might be needing expertise services greatly. Customers are more than willing to pay a premium charge if they get more.
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