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Table Table 3 Go-to-market & pricing

Which operational miscalculations undermine value-based pricing?

MiscalculationRoot causeCommercial failureCorrective protocol
Confusing cost savings with total valueFocusing exclusively on operational cost reductionIgnores revenue expansion, risk reduction, and velocity gainsBuild comprehensive multi-vector value models
Assuming value is universally perceivedPitching identical economic models to different personasTechnical buyers reject business metrics; executives reject feature listsSegment value models by buyer role and operating maturity
Treating list price as value-based pricingPublishing elevated list prices without sales negotiation toolsField sales reps discount aggressively when challenged by procurementProvide sales reps with audited ROI calculators and walk-away floors
Ignoring customer adoption frictionOmitting integration, training, and change management costsCustomer encounters negative differentiation and feels misledDeduct adoption expenses explicitly in the EVC equation
Failing to verify post-sale realizationHanding off accounts without tracking achieved milestonesCustomer disputes value claims during contract renewal negotiationsMandate customer success reviews tracking verified business outcomes

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Reference & Evidence

Source: Table from this essay. Sources and interpretation are given in the article.