OnDemand WTP Pricing Research

This Week in Pricing > 2/2/19

TWIP is a digest of pricing focused news, thought leadership, events, jobs, training and certification resources for pricing professionals.

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The Perfect Price AI platform makes millions of pricing decisions for forward-thinking companies around the world. Our cloud-based service allows customers to quickly anticipate and react to changes in demand in real-time – enabling them to maximize revenues, profit, and utilization.

Its machine learning leverages proprietary data – the biggest competitive advantage–to increase average rates, utilization, and profit.

Perfect Price works with forward-thinking companies in industries ranging from rental car and airline to sports clubs and gas stations.

Discussion: How Price Points Can Trick Us Into Making a Purchase | Utpal Dholakia

Discussion: How Price Points Can Trick Us Into Making a Purchase | Utpal Dholakia

Utpal Dholakia, George R. Brown Professor of Marketing at Rice University. What exactly is a price point and how does it affect consumer behavior? It turns out that price points are anomalies in the demand curve that occur due to entrenched consumer ideas of what the normal or usual price for a product should be. […]

 

Super Bowl hotel room rate jumps from $523 to $4,800 – after reservation | 11 Alive

Super Bowl hotel room rate jumps from $523 to $4,800 – after reservation | 11 Alive

ATLANTA — Concerns are building that hotels may be trying to take advantage of guests coming to Atlanta for the Super Bowl – to make more than a few extra bucks. Two viewers contacted 11Alive in the last 24 hours with one claiming his hotel was trying to jack up the price after he made […]

 

Drug-Pricing Policies Find New Momentum as ‘A 2020 Thing’ | HealthLeaders Media

Drug-Pricing Policies Find New Momentum as ‘A 2020 Thing’ | HealthLeaders Media

The next presidential primary contests are more than a year away. But presumed candidates are already trying to stake a claim to one of health care’s hot-button concerns: surging prescription drug prices. “This is a 2020 thing,” said Dr. Peter Bach, who directs the Center for Health Policy and Outcomes at Memorial Sloan Kettering Cancer […]

 

MoviePass Attempts Comeback with New Pricing Options | Collider

MoviePass Attempts Comeback with New Pricing Options | Collider

MoviePass is hoping that its 2019 is a fresh start after a rocky 2018. If you flip through our archive of MoviePass news, you’ll see how the company was lambasted last summer for “high demand” charges, followed by a policy to blackout new releases — something it reversed almost immediately after backlash to that and […]

 

What expensive ketchup can tell us about Amazon’s grocery strategy | The Grocer

What expensive ketchup can tell us about Amazon’s grocery strategy | The Grocer

On the face of it, it’s a head-scratching offer. Six squeezy bottles of no-name ketchup for an eye-watering £10.34, more than three times the price you’d have to pay for six bottles of own-label ketchup in Tesco, where a 550g bottle costs just 65p. Own-label mayonnaise, yellow mustard and BBQ sauce under the same Solimo […]

 

Company Shut Down After Price-Gouging Accusation | North Carolina News

Company Shut Down After Price-Gouging Accusation | North Carolina News

RALEIGH, N.C. (AP) — North Carolina’s attorney general announced a Florida company accused of charging more than $37,000 to clear three trees after Tropical Storm Michael has been shut down. The News & Observer of Raleigh reports Attorney General Josh Stein’s office won a preliminary injunction from a Wake County judge on Monday against National […]

 

Brexit and its Impact on Price Increases | PriceBeam

Brexit and its Impact on Price Increases | PriceBeam

The 29th of March, 2019, the day the United Kingdom officially leaves the European Union, is fast approaching. It is important for businesses to know the impacts Brexit will have on pricing for their products and how they can prepare for post-Brexit. Food prices are expected to go up after Brexit and some have even […]

 

 

Super Bowl Menu Prices Offer Glimpse Of Sports Concession Future | Forbes

Super Bowl Menu Prices Offer Glimpse Of Sports Concession Future | Forbes

Ever since Mercedes-Benz Stadium opened in Atlanta in 2017, the fan-first concession pricing has turned heads. That pricing doesn’t change, whether a Falcons game, a concert or even a Super Bowl. Hot dogs are $2. Refillable sodas: $2. But what we will see for the first time at a Super Bowl on Feb. 3 hasn’t […]

 

Using a backtest to choose Dynamic Pricing software | Perfect Price

Using a backtest to choose Dynamic Pricing software | Perfect Price

Dynamic Pricing software takes data and turns it into actionable real-time prices. At Perfect Price, we’ve learned a lot about how executives assess and decide on using our software. We think this process could work well for evaluating any software that an enterprise is trusting to make decisions on its behalf. The problem As a […]

 

OPINION: Gov. Cuomo Is Talking Crazy About Congestion Pricing — But He May Be Crazy Like a Fox | Streetsblog New York City

OPINION: Gov. Cuomo Is Talking Crazy About Congestion Pricing — But He May Be Crazy Like a Fox | Streetsblog New York City

Gov. Cuomo said the wrong thing about transit on Wednesday — but he said it for the right reason. In a chat with Brian Lehrer on WNYC, the governor suggested that congestion pricing must pass so that the MTA would not need to raise transit fares to cover an annual operating budget shortfall this year. […]

 

Want to Increase Revenues? Help Your Sales Team Sell On Value, Not Price | Inc.

Want to Increase Revenues? Help Your Sales Team Sell On Value, Not Price | Inc.

Salespeople, especially those who are unseasoned or just average, are afraid of rejection.  They think that to make a sale happen, they need to be loved–and just like my 4 year-old who offers up anything and everything including “being my best friend” when he wants to win an argument–they offer the sun, the moon, and […]

 

Tim Cook admits that higher iPhone prices are a ‘factor’ in declining upgrade rates | 9to5Mac

Tim Cook admits that higher iPhone prices are a ‘factor’ in declining upgrade rates | 9to5Mac

After announcing that iPhone revenue was down 15 percent year-over-year in Q1 2019, Tim Cook was asked during Apple’s earnings call about iPhone pricing. Analyst Steve Milunovich asked Cook whether Apple might have pushed the “envelope a little bit too far” and might have to bring prices back down in the future. First, Cook explained […]

 

Pricing Needs to Reflect Who People Want to Be, Not Just What They Want | Harvard Business Review

Pricing Needs to Reflect Who People Want to Be, Not Just What They Want | Harvard Business Review

When are people willing to pay a super-high price premium for something? They do, for example, for vacation properties in just the right places, like Southampton, Carmel, or Aspen; for condos in famous buildings, like 432 Park Avenue or The Millennium Tower (even if the latter might be sinking into oblivion); for signature luxury fashion […]

 

Why Hulu Changed Its Pricing Strategy | Market Realist

Why Hulu Changed Its Pricing Strategy | Market Realist

Currently, Comcast (CMCSA) has a 30% stake in Hulu, while AT&T’s (T) WarnerMedia holds a 10% stake in the OTT (over-the-top) service. The Walt Disney Company (DIS) and 21st Century Fox (FOXA) hold a 30% stake each in Hulu. However, Disney’s share in Hulu will come to 60% after the completion of its acquisition of 21st […]

 

Anchor Pricing | PriceBeam

Anchor Pricing | PriceBeam

Anchor Pricing is the concept of making a product that was first offered seem cheaper when it put alongside another product. An example of this would be initially offering a customer a product that costs 300 GBP but then showing and comparing a more expensive alternative, say 450 GBP to that customer. That first product […]

 

Scooters’ Worst Enemies: Wintry Weather, Vandals | The Information

Scooters’ Worst Enemies: Wintry Weather, Vandals | The Information

he two leaders in electric scooter rentals, Bird and Lime, saw significant declines in ridership in November and December—the first wintry months they’ve had to navigate with large fleets, new data show. The drops put a year-end chill on months of rapid expansion and showed how seasonal the scooter business is likely to be, which […]

 

 

Webinar (On-Demand): Pricing in New Product Development – From Afterthought to Integral Part of the Process | PriceBeam

This webinar looks at how pricing can and should play a more integral role in New Product Development (NPD) instead of being an afterthought once the product is already designed and produced.

Participants and viewers will learn about:

  • How to use pricing and willingness-to-pay research to create new products or services that have higher success rates once launched
  • How to integrate willingness-to-pay research in the product design process
  • How to better understand what prospective customers actually value, and what they don’t value
  • How to test different concepts for market viability and ability to achieve solid prices in the market place.

 

Webinar (On-Demand): Machine Learning & Data – The Latest Pricing Opportunity | PPS and Vistaar

In today’s ever-evolving world, data and software driven strategies are imperative to creating sustained commercial success.

Computers are more adept than humans at sorting through data with complex variables such as frequently fluctuating costs, rapidly evolving pricing models, and shifting customer priorities. Modern pricing software solutions, powered by advanced algorithms and machine learning techniques, enable businesses to constantly analyze data on an unparalleled scale and drive decision making based on data.

In this PPS webinar, Vistaar’s Director of Product Management, Dushyant Zutshi, discusses how advanced algorithms and machine learning techniques drive intelligent pricing and sales strategies for success in the data-driven world.

 

Webinar (On-Demand): Machine Learning & Pricing with PPS | Perfect Price

Watch CEO of Perfect Price, Alexander Shartsis, discuss machine learning and pricing with the Professional Pricing Society (PPS).

PPS is the world’s largest association of pricing professionals, and usually asks tough questions!

 

Webinar (On-Demand): Value-Based Pricing foundation done right – Conjoint Analysis | PriceBeam

Value-Based Pricing is considered a superior strategy for most industries and businesses. But it also requires a solid foundation of data and market insights. In this webinar we will take an in-depth look at the powerful insights that can be created through price research, in particular using conjoint analysis

Participants and viewers will learn about:

  • How Value-Based Pricing can be supported with price research
  • Different price research methods
  • How Conjoint Analysis can provide powerful insights and support for a Value-Based Pricing strategy
  • Tips and tricks for running a conjoint analysis price research project.

 

30th Annual Spring Workshops & Conference May 7-10, 2019 | PPS

We are excited to announce we’ll be in Atlanta, GA for our 30th Annual Spring Pricing Workshops & Conference May 7-10, 2019! You can register now and take advantage of our Early Bird Offer (Buy 2 Get 1 Free, expires March 29th).

 

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“The single most important decision in evaluating a business is pricing power,” Buffett told the Financial Crisis Inquiry Commission in an interview released by the panel last week. “If you’ve got the power to raise prices without losing business to a competitor, you’ve got a very good business. And if you have to have a prayer session before raising the price by 10 percent, then you’ve got a terrible business.”

     – Warren Buffett