Pricing Articles

Articles from past editions of the Pricing Advisor newsletter
and The Journal of Professional Pricing

The 5 pitfalls of conjoint analysis in pricing research

Conjoint analysis is one of the most popular methods used to measure the preferences of individuals or groups. It determines, for instance, the degree to which consumers value specific products, which then helps in developing sound pricing strategies. However, this method has some pitfalls that can hinder its effectiveness and application in pricing research, which the author addresses in this article.

By |November 30, 2023|Categories: Pricing Articles, Pricing Research|Tags: , |

SaaS Discounting Practices and Pricing

Many companies say that a discount is an investment, but they don’t really treat it that way. There is no analysis of the scale of the investment and the expected return, and when there is, there is seldom any follow-up to see if the return on the discount was realized. In this article, the author outlines several common types of discounting as well as common pitfalls of these approaches and best practices for implementation. Although the examples are B2B and Software-as-a-Service (SaaS) specific, the pricing insights in this article are applicable for pricers across industries.

By |October 31, 2023|Categories: Pricing Articles, SaaS Pricing|Tags: , , |

The 11 Competences of the Effective Pricing Professional

In this article, the author explores 11 skills that, through his experience in pricing, he has deemed as critical for achieving success in your pricing career. Author Alexandre Costa is a Certified Pricing Professional (CPP) with extensive experience in project management of Strategic Pricing, Revenue Management, and Market Intelligence.

By |October 31, 2023|Categories: Pricing Articles, Pricing Skills|Tags: , |

The Art of Effective Market Research for Pricing

In the realm of market research for pricing, avoiding common pitfalls is essential to deriving true value from the endeavor. The test for market research for pricing success lies in its ability to confidently guide companies toward improved pricing strategy, steady growth, and increased profitability. In this article, the author outlines ten common failures associated with pricing market research and provides best practices for both avoiding these pitfalls and also developing actionable, insightful research for your pricing operations.

By |October 31, 2023|Categories: Pricing Articles, Pricing Research|Tags: , |

MaxDiff in Price Research

MaxDiff is a versatile and powerful research technique that can provide valuable insights for new product development. By understanding its theoretical underpinnings, advantages, and applications, as well as the challenges and limitations, researchers and product developers can effectively leverage MaxDiff to make informed decisions and create successful products that resonate with their target audience, as the author explains.

Streaming slowdown making players rethink offerings to prevent subscription churn

Simon-Kucher’s latest Global Streaming Study reveals that people are not increasing their streaming hours any more. And consumers are not only stepping back from streaming ‘more’ but also battling subscription fatigue and increasing price sensitivity. Can streaming service providers prevent subscription churn and still gain customers in this market?

By |September 29, 2023|Categories: Consumer Pricing, Pricing Articles, Subscription Pricing|Tags: , |

Stop Blaming Ticketmaster for High Prices

Customer outrage about expensive ticket prices is not a new phenomenon. But recently, even politicians are joining the chorus of complaints and threatening to investigate the entertainment ticket industry. But are Ticketmaster, Live Nation, and other providers gauging prices? Or are the prices driven by other factors?

Combating Anchoring Bias in B2B Sales

Humans tend to give undue weight to the first piece of information they receive. In the context of B2B sales, this means that if a buyer is presented with a low price at the outset, it can anchor the entire negotiation to a lower price point. This can make it difficult for a seller to negotiate a higher price. In this article, the author presents three common scenarios in which customers anchor on a low price and provides strategies pricers can employ to combat this anchoring behavior.

By |September 29, 2023|Categories: B2B Pricing, Pricing Articles|Tags: , |

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