Tuesday, November 16, 2010
Oh! It has been a while.
What should it be, cut prices and close my business in six months or help people to understand what it takes to have a successful web development company behind them.
Our sales staff say that they are consistently told on how companies are taken for a ride by the web design or development companies who offer services and don't come through.
How do we prove the predecessor wrong? With difficulty.
My experience in business has proven that everyone will take either the shortest or cheaper route, the same experience has also proven that those that choose either route are unhappy 80% of the time.
Go figure!
My daughter has this fascination for branded “ladies” accessories and she certainly pays the price for them. She recently acquired a well branded ladies handbag – for the price of a good watch- as a birthday present from her mother, this added huge value to her life as well as the status it brought her amongst her peers.
We -as normal human beings- put some credit to the creation of such an item but not essentially getting the same value for what the purpose it is supposed to serve. But others enjoy the value- if so short lived – it adds to their lives. Very often we are taken for a ride by the glamour an glory of status, but is it practical? It most likely is.
On the other hand, when an organization goes to extremes to provide a superior service-without a name tag- to enhance the status of their clients business it is seen in the same light as an expensive accessory, which losses value, instantly.
Marketing a business should demand no short cuts or high price, just value for money.
We have had two recent experiences with good clients that have blatantly told us that we are too expensive. My daughter had the option of purchasing her handbag from the vendor on the side of the road for a tenth of the price, with the same label but she didn't, why? Because her friend who competed for the same status, did buy from the street vendor and her bag has a broken zip and a torn inner lining.
What do we learn from this?
Don't buy branded products?
Don't buy from street vendors?
BZZZt!! Wrong.
Buy from who you can trust to deliver what you expect.
My Example:
We have a set price to all our prospective clients for website development and we put the same amount of enthusiasm and effort into them all; to provide functionality, internet presence and user friendliness to their visitors. When a client tells me that he can get the same website for 300% less than our quote, my mind goes to “street vendor”, broken zip or “no lining”.
If you were offered a loaf of bread for 10 cents would you buy it?
I say no more. Get the cheaper version and pay the price...twice.
http://www.interon.co.za/production.html
What should it be, cut prices and close my business in six months or help people to understand what it takes to have a successful web development company behind them.
Our sales staff say that they are consistently told on how companies are taken for a ride by the web design or development companies who offer services and don't come through.
How do we prove the predecessor wrong? With difficulty.
My experience in business has proven that everyone will take either the shortest or cheaper route, the same experience has also proven that those that choose either route are unhappy 80% of the time.
Go figure!
My daughter has this fascination for branded “ladies” accessories and she certainly pays the price for them. She recently acquired a well branded ladies handbag – for the price of a good watch- as a birthday present from her mother, this added huge value to her life as well as the status it brought her amongst her peers.
We -as normal human beings- put some credit to the creation of such an item but not essentially getting the same value for what the purpose it is supposed to serve. But others enjoy the value- if so short lived – it adds to their lives. Very often we are taken for a ride by the glamour an glory of status, but is it practical? It most likely is.
On the other hand, when an organization goes to extremes to provide a superior service-without a name tag- to enhance the status of their clients business it is seen in the same light as an expensive accessory, which losses value, instantly.
Marketing a business should demand no short cuts or high price, just value for money.
We have had two recent experiences with good clients that have blatantly told us that we are too expensive. My daughter had the option of purchasing her handbag from the vendor on the side of the road for a tenth of the price, with the same label but she didn't, why? Because her friend who competed for the same status, did buy from the street vendor and her bag has a broken zip and a torn inner lining.
What do we learn from this?
Don't buy branded products?
Don't buy from street vendors?
BZZZt!! Wrong.
Buy from who you can trust to deliver what you expect.
My Example:
We have a set price to all our prospective clients for website development and we put the same amount of enthusiasm and effort into them all; to provide functionality, internet presence and user friendliness to their visitors. When a client tells me that he can get the same website for 300% less than our quote, my mind goes to “street vendor”, broken zip or “no lining”.
If you were offered a loaf of bread for 10 cents would you buy it?
I say no more. Get the cheaper version and pay the price...twice.
http://www.interon.co.za/production.html
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