FOR IMMEDIATE RELEASE CONTACT: Tom Ellis
June 7, 2007 Ellis Communications, Inc.
Phone: (417) 881-5635
Email: tom@elliscomm.com
PHOENIX, Ariz. – Utilities that offer non-traditional services to
boost revenues put themselves at a disadvantage when they compete on the basis
of price rather than emphasizing the “wow” factor of their products, says
Phoenix-based Measure-X.
“Many companies are experiencing a bad case of the pricing-pressure blues,” says
David Saxby, president of Measure-X, a company that specializes in helping
utilities improve their customer service and sales. “I’ve heard it referred to
as ‘Wal-Mart mentality’ where customers expect everything to always be the
lowest price possible. The pressure to keep lowering and defending prices can be
frustrating to everyone who interacts with customers. All this can be avoided if
utilities discover and focus on what really sets them apart from the
competition.”
Saxby offers the following thoughts on the drawbacks of pricing strategies and
the need to find a “wow” factor.
Defending Price Is A Losing Battle. When employees defend the prices of
products and services without understanding and demonstrating their value, a
frustrating and losing battle ensues, Saxby says. “Price is one of the most
dangerous ways to differentiate a business,” Saxby notes. “It’s a lose-lose
proposition because oftentimes there is someone more desperate who will lower
their prices.”
There Is No Such Thing As A Pricing Problem. The only problem is one of
marketing, according to Saxby. “If your utility is experiencing the
pricing-pressure blues, it means that you need to focus on differentiating your
business sufficiently to make people more willing to buy from you,” Saxby
explains. “You need to point out the benefit of your products and services. You
need to make it obvious why you should be the preferred choice.”
Customers Don’t Always Buy On Price Alone. Customers will pay more if
they perceive real value in your products and services, Saxby says. “The best
example of this is a cup of coffee at Starbucks,” Saxby notes. “They don’t
discount their products. They simply make sure each customer feels like he or
she is getting something for their money.”
Focus On What Impresses Customers. What is it that matters most to your
customers? Saxby asks. “Don’t guess based on your biases; do your research,”
Saxby suggests. “Ask your customers what they like about doing business with
you, what other companies or products they considered, why they decided to buy
from you, how your utility met their needs and what they are telling others
about your utility and its products.”
Discover the “Wow” Factor. Every business has a wow factor that sets it
apart from the competition, Saxby says. “It gives your existing customers and
prospective customers something to remember you by,” Saxby says. “When you
discover and learn how to market your wow factor, you can add real power to your
marketing efforts, boost your sales and overcome the pricing-pressure blues.”
-------------------------------------
Measure-X is a measurement, training and recognition company that specializes
in customer service and sales skills. For more information on Measure-X, call
888-644-5499 or visit its Web site at
www.measure-x.com.
