Adding Value 15 Different Ways
Last week, we looked at the basics of money, making it, keeping it and growing it. The basic we highlighted for making money was adding value. People don't pay you for your time e.g.per hour per month but for the value, you put into the hour. They don't pay for a product but for the value, the product gives to them.
So to make money we add value to ourselves and to our business. Today we look at how we add value so we earn more for the value we give.
this is the best way to accelerate the growth of your money, don’t start with thinking about the money but start with asking yourself, "How can I help?" This question is very important in finding out how you can add value. When you think of the answer to the question don't think small. Think about what you were born to do; work like hell to remove any and all roadblocks in front of you; live your purpose and allow your reason-for-being to fuel your growth--both professionally and personally.
What I am saying is that for you invest and grow your income, and have something to keep you have to make that money first by adding value.
Adding Value To Your Business
Adding value means you are making your product or service more appealing to customers than that of your competition. If you are not adding value it will mean you will compete on price. The problem with this is you will not be able to make high margin sales where profitability, long-term growth and sales success resides.
Understand that any product or service can be driven down to bottom prices by players from within or outside the market as long as there is no regulatory interference. Therefore adding value to your product or service offering is necessary if you are to be profitable and grow.
The following are ways you can add value
1. Become an expert and offer a professional service
Whether you are a consultancy; accounting firm, IT, designer or even medical professional, this means you should have a higher level of sophistication, wisdom and understanding about what it is that your clients need, the market is offering and the options available for your customer than your competition does. Most customers today are well informed thanks to Google, other search engines and social media. If you are not professional to an expert level you will not gain the trust of prospective customers and they will not be confident to pay extra for what you offer.
2. Bundling and packaging
Other than just how the packaging looks put together desirable desirable packages, prices and added benefits for your customers. The added benefits could be a lot more desirable than the core product or service itself. Have you ever bought a magazine for the test perfume it has or a toilet cleaner because of the free freshener or soap attached that you have been wanting to try but could not afford to cause it is too expensive to just try? This is what we are talking about.
3. Service levels
Having different service levels can ensure you meet the different customer needs based on their size, frequency of use or volume of purchase. This is evident in the offerings telecommunication companies have say for business and personal service. Replicate this in your offering.
4. Loyalty programs
This is to reward one who buys from you frequently or the more valuable service. You rewarded them for the value they spend with you. Examples are loyalty cards, frequent flyer miles with an airline.
5. Educate personnel and customers
As new customers come on stream with your organization or when you introduce a new complicated service or product you may want to provide action or transition teams to help them to be better able to utilize the products or services that you sell them. This means your support teams have to be well trained to meet the customers need. Have you ever called a mobile customer care desk for help with a new service and find that the person you are talking to knows nothing about the service the company is offering? Often it makes me doubt the quality of the offering and whether I should spend my hard earned cash!
6. Recognition and reward levels
Different from loyalty programs with this customers are recognised for being outstanding customers. Kenya Revenue Authority for example annually recognises the highest taxpayers. You also can recognise your best clients and the recognition can also mean you reward them with a gift inline with the value of your product. You can also have a Hall of Fame in your newsletter and or a wall in your offices. This is a way to build good relationships and goodwill.
7. Qualitative preference
Based upon someone's level of purchase, involvement or interaction, you can provide higher quality of products, perhaps a more sophisticated level of service, that may need a dedicated personnel, dedicated phone lines, fax lines, or the like, that gives them a greater opportunity to be treated better than the run of the mill customer happens to be. Examples are special banking halls or branches, or in advertising and sales, a dedicated account manager You can also use this for introductory customers as a value-added component.
8. Dedicated personnel
This works particularly well if you have a technical product or service or one that requires support. It is not difficult to understand that the more someone is familiar with another person's account, products, machinery, equipment or way of doing business, it is far easier to do business with that organization. In this scenario, you simply assign dedicated account people to handle your customer's accounts personally.
Though overused and abused , one way to differentiate yourself is to guarantee some sort of on time or faster delivery. It is very well known and accepted that on-time delivery is a key component for charging full or maximum pricing. It is also a component as it relates to providing value-added services and products. Note conmen and especially corrupt government officials use this a lot so don’t let it be your only differentiator but do not ignore it.
10. Insider information
This is very common when people are selling information as it relates to business, stocks, bonds, financial information or anything related to information or time specific data. Utilizing this process you may want to consider a regular newsletter (electronic or printed) that updates customers on a regular basis as it relates to very key and important information that they have to have. This is one way Synergy4Africa uses to offer extra value to it’s customers.
Splitting production or a process or service so that the best players offer it as one ensures you have a superior service or product than your competition. An example is in car manufacturing. A Volkswagen might have an engine made in Germany, Mexico, or China; a wiring harness from Tunisia; and an exhaust filter system from South Africa and it is all put together in Kenya for the African market.
12. Your gift to the world
Surprise give always to customers create a buzz and can build loyalty especially where your pricing is not outrageous. Examples would be stars who have foundations.
13. Build your brand
When adding value make sure you are known felt an perceived in the value you are offering. Do not skimp on quality of the final result be it in advertising, premises, or website. For example Nike sells much more than Hi-tec though the production cost is probably the same. But Nike has invested in building their brand.
14. Planned discounts
This basically capitalise on the saying “If you want to dine with the classes, you have to sell to the masses.” Examples are seasonal sales, end year sales and so on. This will not reduce your sales in the course of the year as those wanting to be first and fashionable will always buy early and may not want to end up missing on the best stock.
15. Limited editions
This works especially in design and other creative areas. Examples are branded partnership snickers which are limited in number. This create celebrity status items of high quality that people will pay an arm and a leg to acquire.
These 15 ways to add value can enable you to build your business more than advertising because in today's world most people don't even see adverts.
If you need help implementing any of these strategies do not hesitate to contact s using the contact form on the right.