Build an Economic Value Case
Calculate a simple buyer-value case using next-best alternative and differentiated data value.
Alternative Differentiated value Credible share Pilot price Defend cost Explain buyer economics A partner evaluates a churn-risk signal priced at $3,000 per month. Their next-best alternative is manual BI review plus late intervention. EVC = next-best alternative value plus differentiated value the buyer can credibly capture. The common trap is to defend the price by saying the data is unique. Uniqueness is not value until it changes the buyer's economics. Step 1 Name the next-best alternative: weekly manual BI review by two analysts, costing about $6,000 per month. EVC needs a reference point. Without it, price becomes a debate about…
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