Mals Musings: Is Value-based Selling (VBS) Just Plain BS?
For decades, most business enthusiasts have propagated the relationship between value and customers. Yet we find ourselves constantly being challenged about the value we deliver.
By on Apr 27, 2010For decades, most business enthusiasts have propagated the relationship between value and customers. Yet we find ourselves constantly being challenged about the value we deliver.
Recently, the challenges have become exacerbated and customers are demanding lower prices or refusing to pay for our solutions.
Cometh the hour, cometh the solution: value-based selling.
Excuse the skepticism, but the industry does have a reputation for coming up with solutions before it has understood the problem. Is there really any value in VBS? What is driver behind this concept? Is this more BS than VBS?
I have no doubt that some of my smarter colleagues will be able to shed some light on this. In the end, it is important to know what exactly the customers get. I suspect this will end up as a popular acronym that is all smoke and mirrors.
I attended a session recently where value-based selling was being discussed. After an hour of rambling amongst the panel, I was none the wiser as to what exactly they were proposing. However, I did notice how the consultants expertly dodged questions.
The elephant in the room was, if we are to embark on value-based selling, what was our previous selling based on? Was it small value-, little value- or no value-based selling? Does a scenario called no value-based selling exist?
Ultimately, this is an admission of guilt. Since we are embarking on this value-based journey, we are clearly accepting our non-value-based past. If this is the case, perhaps we should be more tolerant of authorities and governments that are putting us under increased scrutiny.
I guess one could argue that we deserve some credit for the positive move we are making, although we must balance this with a consideration of our motivation to become value-based. Is it payer and patient pressure or self-realization? Have we finally come to the understanding of how important our customers are in all that we do? I certainly hope so.
It matters that we deliver value, more than sell value. We will have only a few more opportunities to get this right. As it stands, we have low levels of trust and another gimmick will put the final nail in the coffin. We should make sure that the battle cry about value is not just about selling but also delivery.