When organizations look to optimize pricing for their solutions, the instinct is to start with numbers: What is the market willing to pay? Where does our product fit relative to competitors? What is the value we deliver?
But in recent pricing research we conducted for a cloud-based business spend management (BSM) platform provider, we began not with pricing but with buying process. The results were eye-opening.
Nearly every company we spoke with described an almost identical sequence when making a purchase decision:
- Identify a problem.
- Quantify the impact of that problem.
- Determine whether solving the problem aligns with corporate strategy.
- Assess whether the problem can be solved internally or whether a new solution is needed.
This consistency was remarkable. Across industries, buying teams were approaching decisions with the same disciplined business-case-first mindset. And increasingly, those buying decisions were being driven by line-of-business leaders rather than IT departments. That subtle shift was having an outsized impact.
Line-of-business buyers are focused on business outcomes, and they build the case for investment from the very start. They do not come to the table asking, “What is the cost of this software?” They come already armed with, “Here is the cost of doing nothing.”
FOR SELLERS, THIS PRESENTS BOTH A CHALLENGE AND AN OPPORTUNITY
Traditional sales training emphasizes helping buyers understand their problems and quantify the impact. But if buyers are already doing that work themselves, sellers must pivot. In this case the buyers have already decided to do something but may need help deciding to take action now (urgency), and the sales team needs to answer the question of why their solution is the best. They need to align closely to the buyer’s framework, acknowledge the existing business case, and then expand it: Have you considered these additional costs if you do nothing? Have you explored these alternative outcomes? Have you talked with others like yourselves that have solved this problem?
From a pricing standpoint, this changes the conversation as well. Buyers are not just evaluating cost. They are evaluating return, such as how well the solution uniquely resolves a clearly defined and strategically aligned problem. Sellers need to paint the vision of how their solution uniquely addresses the current situation and provide client examples and proof points to create confidence in the buying community. Sellers who price based on value delivered, and who position their offering within the buyer’s existing business case, have a significant advantage.
HELP YOUR SALES FORCE SEE THROUGH YOU BUYERS’ BUSINESS-CASE LENS
These research findings solidify a truth in today’s selling environment: Buyers are more sophisticated than ever before — and your organization needs sellers who can meet them on their level.
The Complete Revenue Accelerators Guide distills proven strategies and practical insights that empower B2B leaders to align their teams, sharpen their go-to-market approach, and unlock sustainable growth through value selling powered by compelling business cases. Do not leave revenue potential untapped. Download the eBook today and start enabling your sales team with these essential skills.