A common aphorism in Vistage Groups is “the second worst thing that can happen to a company is success.” Usually this means that the leader of a successful enterprise believes he or she has cracked the secret code to dominance and nothing further need be done but make sure no one changes anything.
This is never true for long and is often a prelude to the company running off the road. One way this happens is when your sale team’s wins greatly exceed the misses for an extended period.
Pricing strategist Doug Butdorf of Boost Pricing has spoken to hundreds of Vistage groups across the US on the opportunities CEOs have to drive profits by challenging their pricing assumptions. In a recent blog post he warns that “if you’re consistently winning ‘too many’ of your proposed deals, it could be a sign that your prices are too low. While this might sound like a good problem to have, it often means you’re leaving money on the table.”
Learn more about The 65% Rule: Rethinking Pricing When You Win Too Often. You may actually be losing, not winning…and not know it.
