In live event AV and AV integration “Competitive Edge” usually—and mistakenly—translates into “lower pricing” or “discounts”

There are times when macro-economic factors cause AV companies to reduce prices on products and services. However, reducing those prices may be less about having a “winning” strategy than it is avoiding issues within the company’s business structure, culture, and mission.
In live event AV and AV integration “Competitive Edge” usually—and mistakenly—translates into “lower pricing” or “discounts”

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Then again, it may be something as simple as a lack of understanding in the concept of Value-Add Initiatives (VAI).

Simply put, Value-Add Initiatives are the additional benefits and perks an AV company puts on top of the original base value of their AV product and services. When done correctly, Value-Add Initiatives boost revenues, increase competitive edge, and garner intense customer loyalty.

For example, a live event AV company might be slightly more expensive with its production packages, but their inclusion of a basic, yet effective interactive follow-up solution of presentation content will attract event organizers who recognize the opportunity to enhance the ROI for attendees, presenters, and sponsors.

An AV integration company, on the other hand, might include the same interactive follow-up solution as part of its integration services for corporate clients. Corporate trainers would be able to use the integrators solution to support their efforts in reinforcing content that is seen and heard through the AV company’s installed technology.

For these AV companies, the follow-up solution that came from a carefully thought-out Value-Add Initiative, is their competitive differentiator, and the result attracts prospective customers who seek companies that go beyond the mere provision of equipment technology and labor.

The bottom line: all companies offer a pre-defined value (or they wouldn't be in business) of their products and services, but not all companies understand what, when, and how to add value to the pre-defined value and gain a competitive edge over their competitors.

Instead of turning to price reductions to be competitive, AV companies should explore opportunities to create and maximize value-add initiatives so they can positively impact the customer’s perceived value of their products and services.

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