Developing the Historical Price To Compete
Traditional Price To Win efforts are tactical; they present a “bottom-up” analysis of the specific solutions competitors are likely to offer to meet the requirements of a specific opportunity. By that definition, accurate Price To Win results cannot be provided until detailed requirements are known – typically after DRFP or final RFP documents are released. Companies who perform just this analysis give themselves little time to develop winning solutions.
Price To Compete analyses provide a solution to this problem. These efforts use historical data to project where customers have tended to buy and competitors have tended to win in similar program. In effect, this top-down intelligence identifies the likely competitive range in comparison to an opportunity’s budget, enabling early definition of your own pricing target.
Developing the Historical Price To Compete is a one-day class for anyone who develops capture strategies and solutions: capture managers, cost/price estimators, pricing strategy developers and solution developers. Attending this class will help you to properly project both customer buying behavior and competitor pricing based on historical pricing data. The objectives of this class include:
- Defining “sources and methods” for required data;
- Identifying the relationship between customer-focused, competitor-focused, andmarket intelligence;
- Determining the most effective times to perform PTC analyses;
- Understanding the benefits and limitations of historical Funding-based (top-down)PTC analyses;
- Learning how to gather, analyze, document and present defensible results;
- Integrating PTC results in early solution development and capture efforts.