122 Posts Found

Monitor recently conducted a benchmarking study of more than 200 companies. The study sought to measure the impact of pricing strategy and pricing execution on profitability and revenue growth. The results provide compelling evidence that the ability to manage pricing strategically can be a source of competitive advantage that drives superior financial performance.

Content: Article | Author: John Hogan | Source: Monitor Group | Subject: Pricing

Gregory Unruh introduces a passage about the price of critical resources from The Price of Everything: Solving the Mystery of Why We Pay What We Do, by Eduardo Porter.

Content: Article | Source: strategy+business | Subject: Pricing

With so much money at stake, it’s hard to understand why so many companies neglect pricing, leave it to the sales force, or rely on lower level analysts instead of moving it onto the CEO’s agenda. If your company’s view of pricing isn’t high-level and cross-functional, we believe it’s wrong.

Our research has consistently shown that pricing has up to four times more impact on profitability … [ Read more ]

Content: Article | Source: Deloitte | Subject: Pricing

What if you could use the Web to return to the old-world traditional markets where merchants sized up every customer and quoted an exclusive price to each one? You can. Rather than eliminating sophisticated pricing strategies, the Internet actually empowers them.

Content: Article | Authors: Laurent Guerard, Rasvan Dirlea, Stephane Remy | Source: Kearney | Subject: Pricing

Actively pricing products across their life cycle is increasingly important, particularly in innovation-intensive industries. Failing to do so may forego potential profits or even destroy value.

Content: Article | Authors: Craig C. Zawada, Michael V. Marn, Walter L. Baker | Source: McKinsey Quarterly | Subject: Pricing

Many companies have a significant opportunity to improve their top- and bottom-line growth by improving their processes and execution on pricing. As these authors point out, senior management teams must summon the analytical skills and courage to confront their reluctance about changing prices and align their pricing more closely with the value of their products or services.

Content: Article | Authors: Graeme K. Deans, Satoshi Watanabe | Source: Ivey Business Journal | Subject: Pricing

CEOs are often the last defense against unrestrained discounting that degrades margins and destroys value.

Content: Article | Author: John Kador | Source: Chief Executive | Subject: Pricing

Marco Bertini, Assistant Professor of Marketing, talks about developing a successful pricing strategy.

Content: Multimedia Content | Author: Marco Bertini | Source: London Business School | Subject: Pricing

Seth Levine offers some ideas on pricing models.

Content: Article | Author: Seth Levine | Subject: Pricing

It’s said that timing is everything, and that rule certainly applies to pricing. An often overlooked factor in driving purchase decisions, timing can be applied to nearly every pricing approach. In this white paper, the authors describe a variety of options: from stretching out the elements of a purchase decision to bringing them closer together, from changing prices dynamically over time to setting time limits … [ Read more ]

Content: Article | Authors: Gus Antorcha, Just Schürmann | Source: Boston Consulting Group (BCG) | Subject: Pricing

There is a fundamental ‘profit disconnect’ in business today. Companies work to bring a product to market by investing significant effort and money in research and development, distribution, and marketing strategies. But when it comes to setting a price – how businesses get compensated for their hard work and financial risk – most companies drop the ball. Critical pricing decisions are often made using arbitrary … [ Read more ]

Content: Article | Author: Rafi Mohammed | Source: ChangeThis | Subject: Pricing

One way to survive online price wars is to avoid them altogether. Covert pricing skirts the online dust-up by surreptitiously offering short-lived promotional prices to micro-segments of customers. To ensure wins are not one-time events, the promotional prices change constantly—as do the targeted customers.

Content: Article | Authors: Dan Oxyer, Ozgun Ataman, Rasvan Dirlea, Tuvan Sencalis | Source: Kearney | Subject: Pricing

Your company has developed a new product that you think will be a winner. A lot of money has been poured into research and development, analysis of the competition and advertising. But there is one key element you may have overlooked: What do you charge for the product? Wharton marketing professors Jagmohan Raju and John Zhang say companies frequently don’t put anywhere near as much … [ Read more ]

Content: Article | Source: Knowledge@Wharton | Subject: Pricing

Pricing is the language of business. Through pricing, companies tell customers which products have the greatest value or when costs have gone up. Through pricing, companies can “ask” customers to change their behavior. A comprehensive “pricing fluency” program for the whole organization focuses on improving the pricing model with better policies for how prices are set, and improving the pricing platform for organizational implementation. The … [ Read more ]

Content: Article | Authors: Jean-Manuel Izaret, Rich Hutchinson, Sylvain Duranton | Source: Boston Consulting Group (BCG) | Subject: Pricing

How much should a company charge for its products or services? Many companies don’t know how to answer this question, and instead let customers and competitors drive their pricing decisions. To keep prices consistent and profitable, companies need to adopt a consistent pricing structure. By strategically managing price structure, the pricing process, and value-based communications, companies can achieve greater profits.

Content: Multimedia Content | Author: Thomas Nagle | Source: Monitor Group | Subject: Pricing

Effective pricing and profitability management depend on coordinated efforts within six areas of competency: pricing strategy, pricing execution, organizational management and governance, price analytics and optimization, pricing technology, and tax and regulatory considerations. Each of these areas, as described below, plays an important role in a company’s ability to set and enforce profitable prices.

Content: Article | Authors: Julie Meehan, Larry Montan, Terry Kuester | Source: Deloitte | Subject: Pricing

The cost of a thing is the amount of what I will call life that is required to be exchanged for it, immediately or in the long run.

Content: Quotation | Author: Henry David Thoreau | Subjects: Marketing / Sales, Pricing

Most companies need to lower prices in a downturn. But the range of outcomes can vary widely. And pricing decisions made now are likely to affect customers’ perceptions for a long time to come. What matters most is how effectively companies manage pricing.

Content: Article | Authors: Darrell K. Rigby, Ouriel Lancry | Source: Bain & Company | Subject: Pricing

Pricing software can spot pointless discounts and other profit-killers, but it isn’t cheap.

Content: Article | Author: Yasmin Ghahremani | Source: CFO Publishing | Subjects: Finance, IT / Technology / E-Business, Pricing

The issue of pricing sometimes feels like a Sisyphean task. It’s hard work to push price up a hill. Before you can reach your goal, the rock tends to fall back down. The potential value erodes, often cannibalized by excessive discounts, generous payment conditions or free-of-charge services. For all the work of setting a high price, companies rarely achieve that price. There is a better … [ Read more ]

Content: Article | Authors: Annett Tischendorf, Martin Dürr | Source: Kearney | Subject: Pricing