Impact Pricing Podcast

Memecast #24: Business is NOT a Zero-Sum Game

First, a zero-sum game essentially means the size of the pie is fixed. If we have a pie there and you get to cut it that, and I get to choose which half I’m going to take, then that’s a zero-sum game because the more I take, the less you get, or the more you take the less I get.

In price negotiations, assuming we don’t change the product or the offer. And it’s just a debate on how much is a customer going to pay in order to buy our product. That’s a zero-sum game.

The more they pay, the more we get and the less money they get to keep and vice versa. However, that’s not the way business works.

“Business is not a zero-sum game. Focus on increasing value to the customer.”

– Mark Stiving


We shouldn’t be thinking of our business as a zero-sum game. Instead, if we’re clearly listening to our customers in our marketplace, we can create features and products and capabilities and nuances of our, of our products so that the buyers get more and more value. And the more value they get, the more they’re likely willing to pay.

And their willingness to pay probably exceeds our cost of creating that X additional value. In other words, we’re creating value both for the customer and for us, hence the business isn’t and shouldn’t be thought of as a zero-sum game.

We hope you enjoyed this podcast. If you see have any questions or feedback please email me [email protected]

Now go make an impact.

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Tags: Accelerate Your Subscription Business, ask a pricing expert, pricing metrics, pricing strategy

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