In this article, the author provides five guiding priciples for successful pricing in the convenience store and gas station industries. This market specific example provides pricing insights that pricers in highly competitive and highly price sensitive consumer markets can apply to successfully implement their pricing strategies.
In the B2B business space, bids are a way of life. Unfortunately, due to the growth of professional procurement, sales teams are spending less time on developing relationships and closing sales and more time cannibalizing price strategies by identifying minimum bid prices in order to win deals. In this article, the author gives pricers strategies for maintaining pricing integrity in the B2B bidding process.
In this article, the author explains how, using a price waterfall, we can identify specific pricing decision areas that should be led by individuals in marketing, sales, and finance; and other pricing areas where the decision should be made collaboratively.
In this article, the authors outline 9 key success factors for implementing price strategy.
Trade promotions are a huge part of the consumer goods industry, despite the fact that the return on investment is often slim to none (if there is any profit at all). In this article, the author presents simple questions and analyses anyone can ask and execute to make better promotional decisions. Michael Stanisz is a Principal at Revenue Management Labs, where they help companies develop and execute practical solutions to maximize long-term revenue and profitability.
Several large airlines have recently begun to offer customers a lower-priced, basic economy fare option. At first blush, it’s difficult to see how a further degradation of airline service can enhance profits and attract customers. However, as the author reveals, this is actually a powerful pricing strategy.
In this article, the author presents some basic analytics and reporting strategies that every pricing and/or sales operations team should use to identify and combat discounting cultures and to drive improved profits within their organizations. He also explains how to uncover the drivers of discounting and the effectiveness of an organization's profit improvement initiatives using a combination of waterfall analysis and Pareto analysis.
In this article, the author explores primary challenges businesses face in defining and communicating value. He also provides strategies and tactics for B2B organizations to identify and leverage customer value.
Flat rates are among the most important innovations in pricing. With flat rate systems, a customer pays one-fixed price per recurring period and then can use a product or service for as much as he/she wants within that paid period. This pricing system works well for some industries but, as the author explains, can cause problems for others if not used wisely.
Banks cannot expect customers to be loyal purely for the sake of convenience. Customers know that they are doing their bank a service and expect to be rewarded. In this article, the authors explore loyalty schemes for banks to employ that will help them both retain higher levels of customers and also increase the revenue from this customer base. This industry specific example provides pricing strategies that can be employed in multiple industries.