Module 9: Marketing & Sales Fundamentals for New Businesses
- Choose an appropriate pricing strategy for a new product
- Describe at least three low-cost customer acquisition channels
- Build a simple sales process from lead to paying customer
Pricing strategy options include cost-plus pricing (cost of production plus a margin), competitor-based pricing (matching or undercutting rivals), and value-based pricing (charging based on the benefit the customer receives); new businesses often start with cost-plus to ensure profitability, then adjust once they understand what the market will bear. Low-cost customer acquisition channels well suited to early-stage businesses include word-of-mouth referrals, WhatsApp and social media groups, local community events or markets, and partnerships with complementary businesses -- all of which can generate initial customers before any paid advertising budget exists. A basic sales process moves a prospect through clear stages: awareness (they learn you exist), interest (they engage with your content or ask questions), decision (they compare you to alternatives), and action (they pay) -- mapping these stages helps you identify exactly where potential customers are dropping off. Early sales success usually comes from founders doing sales personally and directly, since nobody understands or can explain the value of the product better in the first months of the business.
1. Which of these is a low-cost customer acquisition channel suited to an early-stage business?
2. Value-based pricing means setting a price based on:
3. In a basic sales process, 'interest' refers to the stage where a prospect: