Summary
B2B organizations often look solely to competitive pricing and profitability goals when setting the target price for an offering. Product managers must address a number of considerations during price setting, including the value of the offering, the organization’s ability to extract that value and goals for the offering. Follow five steps to develop and validate the best target price using an iterative, value-based pricing approach. In this report, we introduce a five-step process for developing the target price of an offering for a specified market segment.
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