While input cost increases and volatility are challenging, they present an opportunity to improve pricing and institutionalize best practices—but margins will likely suffer if these are not executed in a strategic way, as the authors explain.
In this article, the authors examine the reasons why price wars flare up so quickly and present strategies that companies can implement in order to avoid these costly and competitive situations.
In a non-tendered market brand premium will protect prices and brand owners. However, tendering opens the market to all parties, including the competitors with a low-cost position and weak branding. The switching curve, as the author explains in this article, presents a method to assess the incumbents’ and the challenger’s position, quantify the impact of a challenge, and derive the appropriate pricing measure in response.
In this article, the author explores the relationship between strategic pricing and commercial efficiency goals. Commercial efficiency depends on simultaneous activities supported mainly by a team prepared to apply a strategic price management aiming to generate credibility and confidence in the market. Without it, in an increasingly dynamic and crowded market, a company will hardly be able to survive for long, as this article explains.
In this two-part article, the author discusses value-based pricing from both an organization-wide view and more specifically from the view of the product manager. He begins by reviewing what a value-based product strategy is, how it helps make better decisions, and helps differentiate your products from the competition. In the second part of the article, he explores the six common missteps product managers make about value and provides best practices for how to avoid these errors
In a market with increasing competition and decreasing customer loyalty, companies are increasingly moving towards more flexible and predictable subscription models and searching for new ways to engage customers with subscription models over the long term. In this article, the authors present five tips to overcome the challenges of moving to a subscription model and defining a successful pricing strategy.