Tiago Costa

Internet entrepreneur and triathlete (Ironman Finisher). Founder of WayNext – digital agency and other companies. Blogging for myself, this is not the agency voice. Welcome!

Price vs Value

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Another great post by Seth Godin explaining the difference between price and value – you can read it here.

I would just highlight the following, which surely reminds me of Apple:
“In fact, I do think it’s probably true that a low price increases the negative feedback. That’s because a low price exposes the work to individuals that might not be raving fans.”.

While managing WayNext or any other company for that matter, pricing strategy is always a sensitive matter. If you price it too low, besides risking loosing money, with risk your prospect finds it cheap (like in a bad quality service). If you price it too high you risk not landing the project and that can hit you as hard as the former if you have a budget to meet (and you alwasy do if you are taking thins seriously…).

PS – I still remember sitting at the TFE (“Teoria Financeira da Empresa”) classes with Oliveira Marques, which was one of my favorite teachers at FEP, explaining the difference between price and value; in a nutshell, price is what you pay and value is what you get.

Author: Tiago Costa

Internet entrepreneur, Ironman Finisher and kitesurfer. Founder of WayNext – web agency and other companies. Blogging for myself, this is not the agency voice.

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