{"id":2565,"date":"2017-05-18T08:00:18","date_gmt":"2017-05-18T12:00:18","guid":{"rendered":"http:\/\/sakanashiandassociates.com\/blog\/?p=2565"},"modified":"2019-04-03T09:56:24","modified_gmt":"2019-04-03T13:56:24","slug":"thoughtful-thursdays-the-penalty-for-dropping-price","status":"publish","type":"post","link":"https:\/\/sakanashiandassociates.com\/blog\/2017\/05\/18\/thoughtful-thursdays-the-penalty-for-dropping-price\/","title":{"rendered":"Thoughtful Thursdays &#8211; The penalty for dropping price"},"content":{"rendered":"<p>There are instances when dropping price is part of a plan for a product or service. You see this a lot in consumer electronics as a product matures and reaches the end of its life cycle. It is an acceptable&nbsp;way to extend the brand as competition ramps up and the product becomes more of a commodity.<\/p>\n<p>Today&#8217;s sales thought is about the penalty for dropping price when it is not&nbsp;part of a&nbsp;product strategy.<\/p>\n<p>One of the easiest ways to make a sale is to drop price. It is also one of the quickest ways to subject to your business to a price drop penalty.<\/p>\n<p>Here are a few ways that dropping price at&nbsp;one customer&nbsp;can penalize your business:<\/p>\n<ul>\n<li>Continued price erosion at all customers<\/li>\n<li>Resulting price erosion for all products and services<\/li>\n<li>Waking up the low cost supplier causing a price war<\/li>\n<li>Decrease in company profitability<\/li>\n<li>Decrease&nbsp;in customer&#8217;s&nbsp;lifetime value<\/li>\n<\/ul>\n<p>Before dropping price, think of the long term consequences versus the short term gain of an order.<\/p>\n<p>Good selling,<br \/>\nRichard<\/p>\n<p>Have a question about sales? <a href=\"http:\/\/www.sakanashiandassociates.com\/contact\" target=\"_blank\" rel=\"noopener noreferrer\">Contact Sakanashi and Associates Inc.<\/a> and I will respond.<\/p>\n<p>Please share Thoughtful Thursdays posts with people you feel may find the topic interesting and help.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>There are instances when dropping price is part of a plan for a product or service. You see this a lot in consumer electronics as a product matures and reaches the end of its life&#8230; <a href=\"https:\/\/sakanashiandassociates.com\/blog\/2017\/05\/18\/thoughtful-thursdays-the-penalty-for-dropping-price\/\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[12,15,61,3],"tags":[77,60,75,73],"class_list":["post-2565","post","type-post","status-publish","format-standard","hentry","category-business-management","category-sales","category-sales-management","category-thoughtful-thursdays","tag-business-management","tag-sales-2","tag-sales-management","tag-thoughtful-thursdays"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/posts\/2565","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/comments?post=2565"}],"version-history":[{"count":5,"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/posts\/2565\/revisions"}],"predecessor-version":[{"id":3715,"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/posts\/2565\/revisions\/3715"}],"wp:attachment":[{"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/media?parent=2565"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/categories?post=2565"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sakanashiandassociates.com\/blog\/wp-json\/wp\/v2\/tags?post=2565"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}