OnDemand WTP Pricing Research

Papers

Paper: Dynamic pricing in retail with diffusion process demand | IMA Journal of Management Mathematics

Paper: Dynamic pricing in retail with diffusion process demand | IMA Journal of Management Mathematics

Abstract When randomness in demand affects the sales of a product, retailers use dynamic pricing strategies to maximize their profits. In this article, we formulate the pricing problem as a continuous-time stochastic optimal control problem and find the optimal policy by solving the associated Hamilton–Jacobi–Bellman (HJB) equation. We propose a new approach to modelling the […]

The CMA’s Paper on Pricing Algorithms, Collusion and Personalised Pricing |  The National Law Review

The CMA’s Paper on Pricing Algorithms, Collusion and Personalised Pricing | The National Law Review

On 8 October 2018, the UK Competition and Markets Authority (“CMA”) published a Working Paper on the ‘use of pricing algorithms to facilitate collusion and personalized pricing’ (the “Paper”). It follows a number of other initiatives from competition authorities regarding algorithms, including the recent German Monopolies Commission’s proposals regarding pricing algorithms, which was the subject […]

Power Pricing In The Age Of AI And Analytics | Forbes

Power Pricing In The Age Of AI And Analytics | Forbes

Recent advancements in technology have made dynamic pricing strategies even more accurate and effective. A large retail bank using pricing algorithms is now able to tailor deposit rate offers by observing a customer’s checking account activities. The algorithm, detecting deposit flows between the bank and a secondary savings bank, can take into account the nature […]

What really matters in B2B dynamic pricing | McKinsey

What really matters in B2B dynamic pricing | McKinsey

Companies that succeed at analytics-based pricing build a strong foundation—and include their salesforce in developing it from the start. Like many of its peers, a medical-technology company was struggling to adapt to changing market dynamics. Its traditional relationship-based sales model was coming under threat from increased competition and scrutiny from hospitals, while end users, especially […]

Is Pricing Killing Your Profits? | Bain & Company

Is Pricing Killing Your Profits? | Bain & Company

Poor pricing practices are insidious—they damage a company’s economics but can go unnoticed for years. For example, a major industrial goods manufacturer struggled with low profit margins, relative both to competitors and its own historical performance. It traced much of the cause to a mismatch between its sales incentives and pricing strategy. The manufacturer was […]

Budget, White Paper Provide Insight Into Trump Administration’s Strategy On Drug Pricing | Health Affairs

Budget, White Paper Provide Insight Into Trump Administration’s Strategy On Drug Pricing | Health Affairs

During his first year in office, President Donald Trump spoke often about the problem of high drug prices but took no action on the subject. President Trump’s new budget proposal and a newly released white paper from the White House Council of Economic Advisors (CEA) aim to change that by laying out a strategy for […]

The Evolution and Future of Pricing Capabilities | Journal of Revenue and Pricing Management

The Evolution and Future of Pricing Capabilities | Journal of Revenue and Pricing Management

ABSTRACT  For the past 20 years, faced with increased business and pricing complexity, pricing scholars and practitioners have paid more and more attention to pricing capabilities. Grounded in resource-based view and capability-based view of the firm, pricing capabilities have moved over time from a non-existing concept to an emerging theory rich in both qualitative and […]

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Pricing ROI, Pricing Capabilities and Firm Performance | Journal of Revenue and Pricing Management

Pricing ROI, Pricing Capabilities and Firm Performance | Journal of Revenue and Pricing Management

ABSTRACT Pricing is not only an important activity but frequently also a very important expense for industrial companies. In this short article we examine whether an improvement in measuring the return from pricing (pricing return on investment (ROI)) leads to an improvement in pricing capabilities and firm profits. The answer to this question is not […]

Organizational Design and Pricing Capabilities for Superior Firm Performance | Emerald

Organizational Design and Pricing Capabilities for Superior Firm Performance | Emerald

Abstract Purpose:The purpose of this paper is to test the relationship between organizational antecedents, pricing capabilities, and firm performance. Design/methodology/approach: Quantitative survey of 748 managers from mostly large companies globally. Findings: It was found that the following five key organizational resources (the 5 Cs) – center-led price management, organizational confidence, championing behaviors, organizational change capacity, […]

Paper: Pricing Best Sellers | Journal of Interactive Marketing

Paper: Pricing Best Sellers | Journal of Interactive Marketing

More reasons why online mass merchandisers are category killersOne of the great pleasures for book lovers of all ages is the opportunity to settle into a comfortable armchair amid the stacks of an expertly curated bookstore and peruse the pages of possible purchases. It’s an old story already that those opportunities are disappearing as online […]