Introducing Pricing Solutions Asia Pacific: New Singapore Office!
Singapore: July 18, 2012 - Pricing Solutions Ltd., a leading consulting firm specializing in pricing strategy and well known for its World Class Pricing ™ Methodology and Price + Value Insights™, is delighted to announce the opening of its Asia Pacific Headquarters, located in Singapore.
Bundling as a Pricing Strategy and Marketing Tool
We find that companies often treat bundling as purely a marketing tactic versus a component in a broader pricing strategy. It is not uncommon for companies to incorporate terms and features into a sale without understanding their inherent value.
Death of The Penny May Cause Extinction of Strategic Price Point
On May 4th the Canadian government officially stopped production of the penny, and will now be using "Swedish Rounding". There may be significant implications for pricing, after all a 1% improvement in price leads to a 12.5% improvement in corporate profitability for the average company.
Why You Should Re-Think Your Cost-Based Strategy
Cost based pricing is relatively simple. The simplicity of cost-based pricing is what attracts many companies. But we think companies would benefit from slowing down before adopting such a pricing strategy.
How to Avoid Commoditization
The threat of commoditization is a reality for many marketers. We discuss pricing strategies that help marketers set prices to capture value.
Guelph Pricing Management Term Paper Winners 2011
Pricing Solutions is proud to sponsor the Pricing Management course under professor Vinay Kanetkar at Guelph University. In the past several years we have awarded a $500 prize to the best term paper. Congratulations to our 2011 winners!
Is Your Product Too Cheap?
Pricing low to gain volume is the oldest move in the pricing playbook. When does the price go so low that it communicates a lack of quality?
Can Your Price Ever Be Too Low?
Pricing low to gain volume is the oldest move in the pricing playbook; the laws of economics say that as you lower price, volume will go up. Therefore many companies that want to dominate a market, or are in a rush to grow in a new market, will use low prices to achieve their goals (e.g. Walmart, Dell, Private Label).
Pricing Luxury Brands For Online Shoppers
If a consumer is shopping for an exclusive brand and likes the idea of buying smart, then many would conclude they can save some money by buying online from a country that sells it cheaper. However, the truth is that they probably won’t succeed; at least not online.
3 Lessons on Value Proposition I Learned at the Barber Shop
After a recent visit to the barber, I was reminded the importance of a strong value proposition. Here are 3 of the lessons I learned.
Pricing as a Profession?
I was presenting at a conference recently and mentioned the Professional Pricing Society. A gentleman in the audience scoffed and could not believe there was such a thing! Well, believe it or not, there actually is a Professional Pricing Society and it has been in existence for quite some time.
Why Netflix loves Bank of America
Just when things were looking bleak for Netflix they caught a break as Bank of America came along with their debit card pricing fee. Bank of America has taken such a beating for that decision that if there was such a thing as a Pricing Piñata it would have their logo emblazoned all over it.
Achieve Your Goals With a Solid Pricing Strategy
Pricing strategy is a hot topic these days. Over the past 20 years, we have helped many companies develop, refine or transform their pricing strategy, but today we get requests for help more frequently than ever before. So why the surge of interest now?
Pricing – Look Before You Leap
Are you at a cliff deciding whether you should cut prices to react to new market realities or stand pat and maintain gross margin?
Guac is Extra – Does Chipotle’s Price Point Make Sense?
Why does Chipotle charge a 200% price premium for their guacamole? We discuss pricing opportunities for the beloved burrito chain.
Flaherty’s Pricing Parity Initiative
Finance Minister Jim Flaherty recently announced his desire to commission a Senate Committee into Canadian pricing. There have likely been a number of triggers for his reaction, but J Crew, a specialty apparel retailer, entering Canada at a significant price premium to its US pricing and subsequent reversal I am sure was part of the cause.
Using Pricing Power to Navigate Price Increases
Good pricing means knowing where your power is. If the value is strong, there is an opportunity either to raise prices or grow share. If the value is weak, pricing must be adjusted accordingly to protect your brand. Otherwise, you risk becoming irrelevant.
Goodyear drives profits with mix management
It’s no wonder that Fortune 500 Companies are kicking off pricing initiatives at such a tremendous pace. The fruits of their efforts are continuing to make headlines. In last Friday’s Bloomberg’s Business Week there was a prominent article about the gains Goodyear has made by managing mix.
Groupon: Beware of Furballs
An increasing number of clients have been evaluating the Groupon model and trying to assess whether it is right for their business. This is a difficult question that often leaves high-level executives perplexed. In order to make an informed decision, it is essential that you approach this decision in a process-oriented manner.
Use the Pricing Waterfall to Drive Profits
For the average business, a mere 1% increase in price leads to a whopping 12.5% improvement in profitability. That’s the single most powerful lever a company has for boosting the bottom line. The pricing waterfall, a tool for identifying hidden costs and expenses, is one of the most effective ways of capturing that 1% – or more!