SPA Pricing Education, Analytics & Decision Making Tools Webinar Series

Tag: Mark Stiving

Pricer’s Points: A Question About Pricing Models | Mark Stiving

Pricer’s Points: A Question About Pricing Models | Mark Stiving

“Mark, I was in your pricing class yesterday (I was the obnoxious one wearing a baseball cap) and it was very informative, I learned a lot. “I know you’re very busy, and I apologize for the imposition, but one thing we didn’t go over were different pricing models. For example, in our business we have […]

Pricing Epipens, Evil or Brilliant? Lessons You Should Learn | Pragmatic Pricing

Pricing Epipens, Evil or Brilliant? Lessons You Should Learn | Pragmatic Pricing

EpiPen prices have gone up 400% over the last few years. This has been all over the news and is giving a bad name to Mylan, the company that makes EpiPen. For example, see this interview on CNBC with Mylan CEO Heather Bresch.  As a pricing person, I feel compelled to share my opinion.  These […]

Margin Math – Don’t Be Tricked | Mark Stiving, Ph.D.

Margin Math – Don’t Be Tricked | Mark Stiving, Ph.D.

The difference between 90% gross margin and 50% gross margin is not what you think.  Be careful. Let’s assume your company finds 50% gross margin “acceptable” but you have some products with 90% gross margin.  First, congratulations!  This demonstrates you are pricing to what the market is willing to pay, not just cost plus.  Now […]

The Role of Boards in Pricing – Part 1 | Pragmatic Pricing

The Role of Boards in Pricing – Part 1 | Pragmatic Pricing

A Board of Directors has several important roles, one of which is oversight of the company’s performance.  Boards can choose what they want to be involved with, but obviously it makes no sense at all for a board to be involved with the minutia of running a company.  Yet, many boards get involved with cybersecurity. […]

Should You Include Upgrades or Charge for Them? | Pragmatic Pricing

Should You Include Upgrades or Charge for Them? | Pragmatic Pricing

Three times in the last few months I’ve been asked a version of the question, “should we charge for new capabilities or include them in the standard product?” Here is one of those questions and my response: What are your thoughts on building great visionary products but instead of charging for them the company includes […]

Pricing is … How Buyers Compare Value | Pragmatic Pricing

Pricing is … How Buyers Compare Value | Pragmatic Pricing

Let’s simplify the world into experts and the naive. Of course there are many shades of gray, some say 50, but for now let’s go with black and white. Experts use price to compare value by considering the price differences between two offerings, considering the attribute differences between the same products, and then deciding if […]

Evaluating Harvard Business’s Price Increase Announcement | Pragmatic Pricing

Evaluating Harvard Business’s Price Increase Announcement | Pragmatic Pricing

Although I’m impressed with this announcement, I could offer them one suggestion for improvement.  When they do this again (in 5 years?) they should emphasize that their costs went up.  The announcement didn’t say why they are raising prices.  They could have changed the last sentence in the second paragraph to read something like this: “Because […]

Pricing in Channels – Channel Partners Are Customers Too | Pragmatic Pricing

Pricing in Channels – Channel Partners Are Customers Too | Pragmatic Pricing

The August box of the month for Pragmatic Marketing is Channel (training and support).  Pricing through a channel is critical to the success of your product and your company. There are many types of channels, but for simplicity in this blog, let’s say a channel partner buys your product at a wholesale price and resells […]

Price Segmentation: Ice Cream in Venice | Mark Stiving

Price Segmentation: Ice Cream in Venice | Mark Stiving

You can learn pricing lessons from many places.  A few months ago my wife and I started an Italian trip in Venice.  After walking around the fascinating sidewalks and alleys most of the day we decided to stop for some gelato.  Most gelato shops are set up only for take away service.  However, we found one […]

The Second Biggest Impediment to Price Segmentation – Data | Pragmatic Pricing

The Second Biggest Impediment to Price Segmentation – Data | Pragmatic Pricing

A few weeks ago Pragmatic Pricing talked about having the quoting and invoicing systems necessary to execute price segmentation strategies.  Another fundamental capability you need is systematically collecting the right data.  In this era of “big data” this shouldn’t come as a surprise, but unless someone has consciously sat down to determine what data to […]