21 May 2010, by A. Cedilla
Here’s a short marketing tip you might find helpful:
- Cost is what you pay to make stuff.
- Value is what the buyer believes your stuff will give him.
- Price is what you set for the stuff you’re selling.
Cost is what you pay to make stuff. Actual labor and service, time, brainpower, materials, and equipment are what you use up to make your product or service.
Other costs can include advertising, marketing, research and other things that’s covered by overhead. These costs are a given, but their price, on the other hand, varies.
Value is what the stuff brings to the person paying for it. Perception is a major part of the process of setting value to something. Here are a few questions to get you thinking: Continue reading Cost, Value and Price