Last week, Netflix announced a $1-$2 monthly price increase for its standard and premium plans. Investors applauded the move, with shares lifting 5.4% on October 6th, adding over $4B to Netflix’ market cap. How many other executives are now evaluating their pricing decisions in search of incremental revenue? Should you? Economists might answer that question by examining the price elasticity… Read More
Adele McLean talks about finding your pricing purpose in this week’s video blog. Find out if you have succumbed to some of the common pricing pitfalls, like cost-plus and market-based pricing, and how to get your pricing priorities back on track.
Lately, we’ve had a lot of conversations with businesses that are ramping up “strategic pricing“. They’ve adopted more systematic approaches to pricing and have taken responsibility for setting prices away from salespeople. This transitions price away from the team worried about closing a sale to specialized pricing people who are worried about generating profits that meet company goals. That’s terrific…. Read More
Last week in my blog post “What Gets Measured Gets Done”, we discussed how important it is to measure pricing data to support insightful decision making. As a continuation of last week’s article, let’s discuss the approach we took for one of our clients – specifically the price plot. We prepared a price plot to understand the overall discounting culture… Read More