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Why value-based pricing works against competition – BuildCon Boss | Vanguard News

Value-based pricing, VBP, is the most highly recommended pricing technique by consultants and developers. The basic concept is setting a price to capture the majority of what customers are willing to pay. Princewill Ekwujuru spoke to Bukola Gadzama, CEO of BuildCon Global Services on this differentiation.

Competitive pricing has been described by marketing experts as setting the price of a product or service based on what the competition is charging. Competitive pricing is used more often by businesses selling similar products, since services vary from  business to business  while the attributes of a product remain similar. This type of pricing strategy is generally used once a price for a product or service has reached a level of equilibrium.

It is with this reasoning that Bukola Gadzama, Chief Executive officer of BuildCon a major player in the real estate sector in Nigeria leveraged to create a differentiation in the sector with unique pricing that endeared it to  customers. The company running since 2013 has build over 16 units of houses and has instituted a payment plan for houses that is light for customers.

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Why value-based pricing works against competition – BuildCon Boss – Vanguard News.

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