S is for Subjective Margins

Posted by Pierre de la Fortune on September 19, 2015 @ 12:01 a.m.

Written by Peter Baskerville and Dr. Neil Flanagan

The art of the entrepreneurial offer is to not fight with competitors on the battlefield of price, but rather to shift the focus to the satisfaction of customer needs. They do this by leveraging subjective or emotive margins. Subjective margins are the margins that entrepreneurs achieve because they know how to perfectly position their offer in an emotive arena where price for the customer is not the issue.

The real issue for the customer is the satisfaction of their emotive need and they will willingly pay a price that has little relationship to the accounting costs of production or the market price of another similar but poorly positioned good or service. The following represent areas in which customers will willingly pay a premium to have their subjective/emotive needs satisfied. (Urgency, Self Esteem, Pain Relief, Fear Mitigation, Scarcity, Unique name, High Emotional Experience, Vital Small Cog, High Sentimental Value or Indulgence)

"The problem with a life ruled by money is that it only sees the price never the value" PB

For more info please visit:http://knol.google.com/k/characteristics-of-an-entrepreneur#view

Is this article helpful?

Comments

Short article that got right to the point.

Thank you for uploading video and posting this article! Ken

Word of the Day

All the things I love is what my business is all about. -Martha Stewart Love this quote by M.s. she kick ass even after going to jail ;-) -Bella

饤 Щ`Х`

饤 Щ`Х` http://ameblo.jp/mattlogary/entry-11976912689.html Щ`Х`㥱åȤ˥`ǥͩ`Ȥѥ ˚ http://ameblo.jp/mattlogary/entry

cheap wow gold

i truly watched those over the internet not to mention believed i had created to buy these guys therefore i orded these products. picked up these individuals for the post. went around to hook them up to utilizing individual brown jegings. i obtained preci

Write something about this article:



Money Blitz Word of the Day

Journal -- a chronological record of business transactions.

Money Blitz Quote of the Day

All the things I love is what my business is all about. -Martha Stewart

WatchList Quote

Major Index WatchList

EUR & USD Interactive Chart