THE VALUE & PRICING BLOG
The latest stories, blog articles, and pricing news from the Ibbaka team
Value models trump ROI calculators
Value models are a far more powerful frame for customer value management than ROI calculators. Companies that need to communicate value to buyers and document value for customers need a value model and the ability to communicate value in value stories.
Customer Value Management in 2025
The year of the wood snake, 2025, is to be a time of transformation, wisdom, and renewal. This is especially true of customer value management (CVM) which is becoming a strategic way to introduce new products and technology (like AI) and to sustain that revenue over time. Value to Customer (V2C) is the key metric in CVM and is a compelling way to organize operations.
Why pricing is part of customer value management
Customer Value Management (CVM) is a rapidly growing category of B2B software. These platforms are used to measure the value being delivered to a customer (Value to Customer or V2C) and manage value communication, delivery and documentation. Pricing is integral to value management as customer see value in relation to price and price in the context of value.
Why Customer Value Management Requires Value-Based Pricing
Customer value management (CVM) is the most important business discipline. It helps companies across the value cycle of create, communicate, deliver, document and capture value. The result is that companies can track V2C (Value to Customer) and make sure that V2C and LTV (Lifetime Value of a Customer) are aligned. This requires methods from value-based pricing.
The Service Design Network approach to fair global pricing
Many organizations struggle to adjust prices for local markets. Price setting in these markets is often arbitrary but it does not have to be. One can adjust pricing for international markets in a way that is fair, consistent and transparent. The Service Design Network provides a recent example.
What is your target value ratio?
The value ratio is a critical but frequently overlooked pricing metric. Tracing this metric is critical to your long-term health. Deciding what level to target is one of the most important Where to Play choices you make in pricing.
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