Marketing and Pricing Security Products

from Warner, Richard D. and Richard M. Adams II, Introduction to Security Printing. (Pittsburge: PIA/GATF Press, 2005).

Promotion:

A reputation for security is built over years. It starts by changing internal business processes, procedures, and culture. Staff should be informed of the importance of security and trained to enable smooth implementation of secure storage, auditing, and reconciliation procedures. All employee contracts should include a clause on confidentiality.

Security should form part of any customer presentation and should be visible to any visitors entering your facilities – eg though the use of ID passes and CCTV cameras.

A long-term communications plan should be written and implemented to ensure the right publicity and the correct messages reach the target market.

Public relations should be effectively used. Issuing press releases and achieving the right editorial coverage in the targeted press is known to generate some useful leads.”

Pricing:

 “Pricing a security solution should not involve cost plus standard margin calculations. It is vital to know the customers, their needs, and what they feel the added security is worth to them. What will they realistically be able to save by implementing the feature? Are there potential savings of intangibles, such as loss of brand image and customer satisfaction?

Each security solution is customized to a customer’s individual needs. As a result, each solution is inherently different and thus price comparisons become difficult, often making the end price a result of sales negotiation skills.

Prices for security documents not only vary greatly but are in general higher-margin business than most commercially printed documesnts.

There are a number of costs and risks associated with security print:

  • Smaller volumes of product or large overall volume split into a number of of batches (e different denominations with different design and feature content)
  • High security often requires exclusive manufacturing and supply contracts. This in turn will require contingency plans to be in place.
  • Accuracy of print and consistency of features is vital. Any fluctuation of these may result in the rejection of the whole batch of work.
  • Batch or sequential numbering of documents is often employed in conjunction with 100% auditing. This requires skilled work and can be extremely labor-intensive.
  • The cost of physical security protection. 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: