What are some alternative pricing models that B2B businesses could use?

Some alternative pricing models that B2B businesses could use include cost-plus pricing, value-based pricing, tiered pricing, and subscription-based pricing. Cost-plus pricing involves adding a markup to the cost of the goods or services to determine the selling price. Value-based pricing is determined by the estimated or perceived value of the product or service to the customer rather than the cost of the product or service. Tiered pricing involves offering a product or service at different price points based on different levels of features or benefits. Subscription-based pricing involves charging customers a recurring fee to access a product or service.

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While many people know Facebook and TikTok as social media networks, they are actually both B2B businesses with advertisers as their main customer. Facebook, Google, TikTok, and many other social networks that incorporate an ad revenue model use a method known as dynamic pricing to charge customers different rates depending on how large of an audience they want to reach. These advertisers then compete with other sellers for the best prices.

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Sales Strategies Toolkit

Does your team need better ways to close leads? Don’t miss your sales targets due to misqualified leads or poor sales controls. Extract from our compi...

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