Price Optimization in B2B Sales: Quick Tips
There’s been tremendous transformation in the SaaS and salestech industry from a technology perspective over the years…there has also been immense change in how tech and B2B companies plan and strategize their pricing models and connect it to their sales approach.
While several leading companies today apply data science to their product pricing decision-making, automation and execution of pricing activities; there are still several lags that companies face when building out their pricing policies and strategies.
Here’s what can help leaders in Product Marketing and Sales implement pricing plans for their SaaS products with the goal of driving more sales:
Pricing Policies Have To Be Data-Driven, Like Everything In Sales And Marketing
The primary reason that pricing should be more data driven and used as a science-based concept within organizations is because the right tools can help derive the right product-customer price match or price – product suggestion. Salespeople in tech often use technologies and data to understand more about their customers, their buying trends and potential purchase intent, using relevant data to approach how pricing models are put in place especially for more complex tech projects and deals is beneficial in order to tap more sales potential.
Read More: SalesTechStar Interview with Rory Gray, VP of Sales, UK & Ireland, at UiPath
The traditional SaaS model where product teams placed different pricing categories on a dedicated page are just a first step towards ensuring a healthy pricing strategy. Today’s new normal has created shifts in how tech sales and marketing teams are meant to identify high value accounts (based on buying interest and buying readiness) and to adjust strategies that can help add additional revenue requires more thought into how product companies rephrase their offerings in terms of capabilities and pricing to suit customer challenges while increasing conversions.
Sales Reps Can Utilize their Non-travel Time of Today’s New Normal to Drive Business with Data-backed Pricing
With sales reps not doing all the traveling that they used to do there is more time on hand to prospect more efficiently using sales technologies while also creating more profitability and efficiency by rethinking how a high value account can still be made to convert by tapping into price sensitivities – is the prospect on a budget? Can you afford to offer a custom pricing model for a particular service? These questions can help sales teams identify ways by which to protect their sales pipeline and outcomes while also ensuring profitability – a data-backed pricing adjustment will help account for pricing customizations that can be a win-win for every party.
Some of the smartest companies do not just look at what their competition is doing, they identify newer approaches to sales and marketing processes to stay ahead of the game and noise.
A Better Customer Experience: Does it Start with Pricing?
Building better remote selling capabilities and digital marketing processes is now becoming a key initiative for sales and marketing teams – but the end goal remains: ensuring that prospects and customers today have a seamless online customer experience once they visit your website, fill a form, interact with content or anything else.
A key factor to building out better customer experiences lies in using technology and data to personalize delivery of marketing and sales communication: the most forward looking teams will have chatbots in place that are built to customize their automated conversations with prospects, for instance. Going a step forward, integrating a price customization model into these conversations can effectively lure more prospects to continue having interest in your service or product.
Using Data-backed Pricing to Drive Value for Prospects and Customers
Price changes can be triggered by changing market conditions, changes to competitor pricing and several other factors, automating price changes to suit these conditions while also building workflows that can help teams automate pricing negotiations can drive better value in sales and marketing.
Read More: SalesTechStar Interview with Jim Nystrom, Chief Sales Officer at Cogito
Companies who integrate their tools to customize how conversations are run with prospects online can also build their system to provide personalized product suggestions along with pricing comparisons, this saves the time of the sales reps who can then be more focused on initiating value in conversations with prospects that need more push to close when they are in their last stage of the buying journey.
With sales and marketing teams leveraging technology in different ways to drive better results, there is no dearth of data or intelligence to also help drive sales success using pricing.
