Value is not equal to price

Every generation needs a revolution - an entrepreneurial revolution

Prospects often reject your offer because of price.   And sometimes becomes sore spot of the sales negotiation and the sale may be stalled.   " You are way too high"  But price is not equal to value

How to neutralize:

1.  You are the value to the transaction:    your voice your prsentation, your character, the trust of the 

      prospect in you.  

2.  You create the value in your presentation as you uncover the benefits of the product or service to the

     prospect.

     You create the value by:

     1.  Highlighting the need, the match up between the product benefits and prospect need.

     2.  Creating the sense of urgency:

          1.  The prospect's loss in case he/she does not buy

          2.  The product is of choice location

      3.  Create urgency.  

          1.  A one time promo

          2.  You have limited time and lot of ground to cover

3.  Thus defer, deflect defuse the need for price revelation in the beginning.  Do it at later part of presentation

Is this of help.?  Text +63 908 928 7888 if you need more materials, coaching or seminar or dm

                         jorgeus george.  Or Gmail.  profjorge.entrep@gmail.com

Strategizing on Kotler's 4ps of marketing

Every generation needs a revolution - an entrepreneurial revolution

No its not the Phil govt program vs poverty  -  Pantawid sa poverty program.  

Philip Kotler popularized the 4ps of marketing:

     Product

     Price

     Promotion

     Placement

Of course, marketing must remember that you sell in order to have margins for future costs.  It is no brainer if you give away your products

A good marketing program is an interplay of these elements, not equal but one or two greater emphasized than others

They used to say that build a better mousetrap, and the buyers will come to your door.  Product strategy rarely works by itself alone  It is true that when you have a quality and durable product people will buy your product.  

But you need this to be affordable also (price)  You cant price yourself out of the market.  

You need to promote -  advertise, give discount, conduct events to make your product to be known to many.

And lastly you have to have a channel:

      .1.  Brick and mortar store

       2  DM

       3.  Facebook

       4.  Affiliate marketing

       5.   Sales force

Again you cant be all to every buyer at the same time.  You cant make a nice product, sell this cheap, advertise this heavily, pay tops in commission to agens Just choose one or two and pour your resources into this.   

Strategy is a choice of resources to employ to achieve your objectives.  

Negotiating/evaluating a school for sale

Every generation needs a revolution - an entrepreneurial revolution

Rizal Philippines
August 26, 2016

I was on a meeting Tuesday afternoon with the representative of a primary and secondary (with Senior High) in a MM city.  In the meeting were:  the President of the Company, a lawyer, a banker, and two representatives of the seller

Some issues:

1. The price is P50 million.  The appraised value of the property is P70 million.  So this is a good asset buy.  However, the school does not make money.

From a net income approach valuation, the price of the school is zero.

The audited financial statement says it makes a revenue of P24 million a year, or P2 million a month (misleading because the tuition payment is quarterly).  The direct cost is P21 million a year, and GA expenses is P4 million.   We learned from additional information given that part of the monthly expenses is interest payments made to dozens of the creditors of the School Director who amassed some P74 million in private debt (as no banks would lend to a school asset - they could not foreclose)  Without the debt service, the school could be profitable earning some P12 million  a year.


2.  Manner of payment: