In order to design and deploy value-based strategies, including value-based pricing, firms must be equally obsessed with obtaining deep customer insights and deep competitive information, as the author explains.
While there are other research techniques that seek to understand the perceived value of products or services, the Conjoint Analysis method indirectly addresses the customer and therefore bypasses biases from direct research methods that make it harder to correctly model consumer choice behavior. In this article, the authors examine the benefits of Conjoint Analysis in developing pricing strategies, present several methods for applying this approach and review case studies of successful pricing projects.
In this article, the author prevents the findings from his recent pricing industry research study implemented to determine the growth of pricing in large organizations.
The Professional Pricing Society’s December 2018 survey of pricing professionals received nearly 919 responses from a cross-section of industries across the globe. PPS conducts surveys with the hope that this information provides a good synopsis of where pricing stands as a career option while also providing a good demonstration of pricing’s status in the business world.