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The Five Factors of Value That Drive B2B Sales and Protect Margins (Article 3 of 4)

by Mark Eardley  |  
July 26, 2016

In our B2B marketing guidebook Business-to-Business Marketing: A Step-by-Step Guide, my co-author Charlie Stewart and I write, "The purpose of B2B marketing is to attract and retain profitable customers."

To achieve that purpose, it's critical to understand what motivates customers to buy your products and services.

The third of this short series of articles offers straightforward guidance on how to...

  • Identify what your customers value
  • Understand how value motivates B2B buying
  • Break through the price barrier using customer insights that matter
  • Use value to justify your pricing: i.e., focus on creating value

Identify the Criteria That Motivate Customers to Buy—and Keep on Buying

Customers buy Value. With a capital V. Their buying is motivated by all the ways your offering contributes to their success—i.e., how you create Value for them.

So what do customers value? Perhaps they are motivated by price or lead times. Or by product quality or service levels. Maybe they select suppliers who understand their challenges and respond with solutions to address them.

In B2B markets, Value can be divided into five factors:

  1. Response
  2. Service
  3. Time
  4. Quality
  5. Price

Each factor can be defined. Which means it can be measured. And when Value is measured in terms of its importance to customers, it can be managed, improved, and delivered in ways that will motivate customers to buy.

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Mark Eardley advises B2B organizations on how to govern their marketing to attract and retain profitable customers. He is the author, with Charlie Stewart, of Business-to-Business Marketing: A Step-by-Step Guide (Penguin Random House), which offers practical, real-world advice on how to make marketing make money.

LinkedIn: Mark Eardley

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