Brands often see premium CX and low prices as a trade-off. However, consumers expect both. A Five9 report shows 72% value support quality while 45% are motivated by deals. The key is to see them as complementary expectations that build loyalty, not an either/or choice.
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Instead of offering direct discounts, which can devalue products, consider a double or triple loyalty point event. This strategy incentivizes customers to spend more to earn future rewards, effectively driving sales while encouraging repeat visits and fostering long-term loyalty. It costs little while giving customers a strong incentive.
Customers don't care about your P&L or that a competitor is a "side hustle." To justify a higher price, you must clearly communicate tangible benefits like better organization, time savings, or superior staff, which directly improve their experience.
Consumers are no longer a monolith; they simultaneously seek deals, reduce spending, or pay a premium for specific items. Single-path strategies will fail. Retailers must adopt scenario-based planning to cater to these diverse and often conflicting behaviors when planning inventory, pricing, and messaging.
In a shift towards predictive CX, brands are proactively saving customers money, even if it hurts immediate revenue. This radical transparency builds immense long-term trust and loyalty.
The "95-5 rule," from the book "Unreasonable Hospitality," advises businesses to be obsessive about saving costs on 95% of operations. This frees up capital to be extravagant on the 5% of touchpoints that create magical, talkable moments for customers.
You cannot command a high price if the customer's experience feels low-value. Every touchpoint—from the technician's uniform and vehicle condition to the dispatcher's tone—must align. A mismatch in this "vibe check" makes a high price feel unjustified and shocking.
When pressured to hit quarterly targets with promotions, use a simple filter: 'Does this action increase the long-term desirability of my full-price product?' This framework helps balance immediate revenue needs with the crucial goal of protecting and building brand equity, preventing a downward spiral of discounting.
In a marketplace with endless options, product features are table stakes. The deciding factor for buyers is now the total experience. Salespeople have lost control of the buying cycle and must now influence it by delivering exceptional service and building trust from the first interaction.
If you consistently lose on price, you likely don't understand your own unique value. Interview your current customers to find out why they *really* buy from you. You may discover hidden differentiators—like personalized support or company stability—that you can then explicitly work into future sales conversations.
Price sensitivity decreases when customers have absolute clarity on what they're buying, when technicians present options with confidence, and when the business consistently provides multiple choices. These three "C's" build perceived value, allowing for higher prices.