Tag: pricing psychology

Execute Your Plans with Courage, Not Hubris | Strategic Pricing Solutions

Execute Your Plans with Courage, Not Hubris | Strategic Pricing Solutions

If the team has identified certain products as being superior to competing alternatives, and has quantified how that superiority creates value for customers versus the alternatives, those products should have higher prices than the competitors’.  If that means raising some prices more than expected, so be it.  If the team is afraid to execute the […]

Customer Value: The Price of Paradise | Strategic Pricing Solutions

Customer Value: The Price of Paradise | Strategic Pricing Solutions

Earlier this year, my wife and I moved to Florida.  With year-round nice weather, palm trees and white sandy beaches, it seems like Paradise.  Last week Hurricane Irma came through and reminded us of the true price of paradise.  It also reminded me that buyers make trade-offs in every purchase decision, and your pricing strategies […]

Segmentation Is a Critical Part of Channel Management | Strategic Pricing Solutions

Segmentation Is a Critical Part of Channel Management | Strategic Pricing Solutions

The challenge that Under Armour is facing is the exact reason most luxury brands limit their channels to high-end stores where shoppers are not price-sensitive.  If the luxury brands want to target more price-sensitive customers, they develop new products or brands that do not have the same cachet or premium pricing.  By doing so, they […]

Focus on the Segments Before Lowering Prices | Strategic Pricing Solutions

Focus on the Segments Before Lowering Prices | Strategic Pricing Solutions

Last week there was an article in the Wall Street Journal, So Long, Hamburger Helper: America’s Venerable Food Brands Are Struggling which discussed the declining market shares of some of the largest packaged food companies.  It is not a surprise; the large CPG companies have been losing customers for the past few years on multiple […]

Pricing: Science Tells Us When, and How Often, Sales Reps Should Talk About It. | Gong

Pricing: Science Tells Us When, and How Often, Sales Reps Should Talk About It. | Gong

What analyzing 25,537 sales calls using AI tells us about pricing discussions during sales calls In Gong’s conversation science research series, we’re revealing what we’ve discovered from analyzing massive amounts of recorded B2B sales conversations using AI, speech-to-text, and machine learning technology. For more information on how we conduct this sales conversation data analysis, check […]

Making Money is the Objective | Strategic Pricing Solutions

Making Money is the Objective | Strategic Pricing Solutions

Retail is an inherently low-margin business.  (If you doubt it, just look at Amazon’s return on sales.) To survive, retailers use many tools to determine how they can sell more to customers and at higher prices.  In recent years, data science has become a much more important part of the retail toolkit.  By analyzing how […]

Incremental Investments in Pricing Yield Big Returns| Strategic Pricing Solutions

Incremental Investments in Pricing Yield Big Returns| Strategic Pricing Solutions

All companies want to improve their profitability and deliver more value to their shareholders, but the best ways to do that are often debated. Pricing is the most powerful lever available to companies striving to improve profitability, but how to effectively use that lever may be unclear. Over the years we have talked with many […]

Pricing Strategies for Multiple Personalities | Strategic Pricing Solutions

Pricing Strategies for Multiple Personalities | Strategic Pricing Solutions

I have been watching the Game of Thrones the past several seasons. I love the rich scenery, the diverse range of characters, and the intriguing, suspenseful drama. A recent episode about the Many Faced God got me thinking about customer types. In particular, it got me thinking about customers with multiple faces or personalities. Some […]

Product Positioning – Good, Better, Best | Strategic Pricing Solutions

Product Positioning – Good, Better, Best | Strategic Pricing Solutions

We have written many times before in our blogs and newsletters that customers are not all equal.  They have different needs, they value product attributes differently, and they have varying levels of price sensitivity.  In order to address these multiple customer segments, it is common to have multiple variations of a product or service offering […]

Paper: Pricing – Time for Science to Replace Gut Instinct | RIS News

Paper: Pricing – Time for Science to Replace Gut Instinct | RIS News

When deployed correctly, pricing optimization solutions are powerful tools that deliver a clear business edge to retailers. Not only are they capable of setting prices for promotional products that consistently hit sell-through goals, but they can also help the entire product catalog sell at full price. But the catch is these sophisticated solutions can only […]