Equalize Price Points to Crystallize Personal Relevance. This is the first recession to show a measurable impact on DeathCare. Most surprising have been the many reports from rural and "rustbelt" funeral directors that cremation has recently spiked, not because people in their markets want cremation but BECAUSE THEY CAN'T AFFORD BURIAL. YIKES!!!! A recent article [...]
to dismount." Archimedes once said, "Give me a lever long enough and I will move the world" For the last 30 years we have been pushing harder and harder on one and only one lever with diminishing results and it's time we stopped. Many of you, dear readers, know that I have been a bible [...]
This image illustrates so well the folly of our more than century old pricing model. All was good until the market changed about 30 years ago. Because we didn't know anything else (and neither did our advisors) our response to the growth in cremation has been to beef up our burial prices and focus [...]
A few years ago we came to the realization that there was a real necessity to review our system. Not all calls are equal in service type, in merchandise and in revenue. The old system indicated that direct cremation had the same market share value as a traditional burial. In a sense that [...]
for the past 4 weeks I have been attempting to spark a conversation about Pricing Strategy against the backdrop of a recent Harvard Business Review article: "How to Stop Customers From Fixating on Price." Candace Franco responded with great insight: "Very thought provoking … but here is one I’d like to talk over with someone [...]
Partition Prices to Highlight Overlooked Benefits This is the 4th and last in a series on pricing strategy based on an article from Harvard Business Review of the same title. The purpose of this series is to stimulate thought and conversation among practitioners about pricing as a strategy rather than simply as a way of [...]
Part 3 Willfully Overpricing to Stimulate Curiosity Last week we discussed the commoditized customer and the second of 4 pricing strategies: “Using Price Structure to Clarify Your Advantage.” If you didn’t think I was certifiable last week there is a good chance you will be thinking about sending me for treatment this week. Please remember: [...]
Part 2: “Using Price to Clarify Your Advantage” Increasingly, funeral markets are being commoditized. This series is adapted from an article in Harvard Business Review entitled “How to Stop Customers from Fixating on Price.” You can purchase a pdf copy directly by clicking on the link. In the article the authors point out that: “Most [...]
How "The Hawthorne Effect" got us off focus The formal casket and vault merchandising systems so common today in funeral homes are a relatively new innovation. But their impact is disproportionate to their value. The industry began experimenting with formal merchandising systems sometime in the late 1960’s. I don’t know whether it was Buddy Hunter [...]
As I was preparing this week's article my friend, Dale Clock, posted this question and a followup on his blog Dale Time. (please click on the highlighted words and read his full comments) This is a phenomenon that has become all too familiar and one that deserves discussion and feedback. How do you handle price shoppers? [...]
