Shrinkflation, the Hidden Price Increase
March 30, 2022
In the face of inflation, companies are looking for ways to raise prices as painlessly as possible. Here comes shrinkflation to the rescue. Shrinkflation is
Tag: value-based pricing
Pricing People Shouldn’t Set Prices
March 16, 2022
This title feels wrong, but it isn’t. When I’m asked, “who should own pricing?” I answer the same way every time. Someone who knows the value of
The Art of Pricing
December 22, 2021
Ask pricing experts whether pricing is an art or a science and every one will respond with “both.” The science side is easy to understand
Value Based Mindset is Hard for an Organization
December 1, 2021
Last week we talked about how hard it is for individuals to focus on customer value. If you think it’s hard for one person, try getting
Value Based Mindset is Hard for an Individual
November 24, 2021
What do you do? Before you read on, please answer that question in your mind. Obviously I can’t guess your answer, but I can guess some
Why AWS Can Sell Credits
October 14, 2021
Last week I wrote that it’s a bad idea to use credits as your pricing metric. They are confusing and unpredictable so your buyers don’t like
Combining Cost-Plus and Value-Based Pricing
September 22, 2021
I and almost every pricing expert in the world are huge proponents of value based pricing. My definition of VBP is charge what the buyer
Perceived versus Real Value
June 24, 2021
The most important concept in Value Based Pricing is customer perceived value. You can only get paid for what customers believe. I often do a little
Volume-Based Discounting
December 16, 2020
Many companies give a discount to customers who buy in volume. Do you do this? Stop reading for just a moment, and consider: Why do
The Three Definitions of Value
August 19, 2020
Although value is a common word, in the pricing world, it has three distinct meanings. Whenever we hear a customer use the word “value”, we
