This isn’t a new term, it’s nothing you have not heard from.
When selling products or services to customers there is an exchange that happens between the buyer and seller for the receipt of the product and/or service.
To the seller it is what they need to earn in order to keep doing what they do, to the buyer, it is what they need to pay to attain the product and/or service (ps).
The buyer will typically associate this with the cost of that ps when really it could not be further from the truth. The buyer has no idea what the true cost of that ps is. All they have a notion of is what they are willing to pay.
Sure, it’s the cost to them, but when buying stocks do we call it the “cost of the stock”, no it’s an investment, we hope it earns more. When we buy a house do we look at as a cost? No, we look at it from a variety of angles to make sure that the what we buy it for hopefully goes up over a few years.
When you start to look at what you purchase as an investment – not only in you, your team, your company – you start to look at the ps that you buy in a very different light. All of a sudden the cheap hose that you were going to buy that is going to break down in 1 year is not worth your investment whereas the hose that costs twice as much and can last 10+ years is of much more value.
It’s easy on a simplistic example, but when applied to your work, family and career, what you are being asked to pay for (sometimes without thinking) are they taking away from where your focus really should be? Where you really should be investing?
Want more? Check out my book Code Your Way Up – available as an eBook or Paperback on Amazon (CAN and US). I’m also the co-host of the Remotely Prepared podcast.