PRICING VARIABLE PRINTING — CASHING IN ON VDP
That pricing model is tried-and-true and will continue to dominate these commodity-based markets. However, this is the absolutely wrong model when dealing with any element of variable digital imaging. With new equipment and a new market, new pricing strategies should change to match.
It’s obvious that there are differences in traditional printing and VDP. These differences should be reflected in the pricing for these new services. “Value provided/risk” pricing models have been around for years. Insurance, data services, personal protection and many other industries use some sort of value provided/risk model. The key to this pricing model is to understand the potential outcome value to the end user, along with the risk of failure and associating a cost and mark-up.