This Week in Pricing > 5/19/18

pricingnews-WeeklyThis Week in Pricing is a collection of pricing focused news, thought leadership , events, jobs and professional education resources for pricers.

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Strategic Pricing Solutions

Strategic Pricing Solutions, LLC (SPS) is a management consulting firm helping clients with pricing strategies, data analytics, and pricing processes. SPS was formed by Scott Francis in 2005 with a vision of enabling B2B clients to build sustainable strategic pricing capability to significantly improve their profitability. By providing flexibility in how we serve our customers, SPS consulting enables clients to build sustainable strategic pricing capability and continuous improvement in profitability through better pricing decisions.

Click a link below to learn more…

 

Top Headlines

Will MoviePass Have a Happy Ending? | Knowledge@Wharton

Will MoviePass Have a Happy Ending? | Knowledge@Wharton

For movie fans looking forward to this summer’s blockbuster hits, MoviePass is making an offer that’s tough to beat: Watch any 2D movie at any theater any day for $10 a month. Thus far, more than two million people have signed up for the subscription plan, which is the brainchild of Netflix co-founder Mitch Lowe. […]

 

Will you be able to afford UberAir’s flying car service? | Roadshow

Will you be able to afford UberAir’s flying car service? | Roadshow

Automation and scaling From there, Uber plans to continue to optimize. Much like how the introduction of UberPool allows commuters to dramatically reduce the price of a ride, Uber hopes to add ride-hailing optimization and smart trip planning to UberAir. Pooling riders, planning first- and last-mile trips to and from its skyport hubs with ground […]

 

Vermont becomes first state to permit drug imports from Canada | POLITICO

Vermont becomes first state to permit drug imports from Canada | POLITICO

Vermont Republican Gov. Phil Scott Wednesday signed legislation making his state the first to legalize importing prescription drugs from Canada, an idea President Donald Trump’s top health officials oppose that’s also drawn fierce opposition from the pharmaceutical industry. A spokeswoman for Scott said he signed the bill Wednesday morning. The measure had overwhelming support in […]

 

Senators Focus on Hospital Drug Discount Program | Medpage Today

Senators Focus on Hospital Drug Discount Program | Medpage Today

WASHINGTON — The 340B discount program for prescription drugs used by safety-net hospitals needs better government oversight, several watchdog agency officials said at a Senate hearing. Although the Health Resources and Services Administration (HRSA), which oversees the program, has taken some important steps to improve oversight, “a number of important issues remain,” said Debra Draper, […]

 

Brace For Surge In Pump Prices | OakdaleLeader

Brace For Surge In Pump Prices | OakdaleLeader

Average retail gasoline prices in Modesto have risen 7.1 cents per gallon in the past week, averaging $3.53/gallon Monday, according to GasBuddy’s daily survey of 201 gas outlets in Modesto. This compares with the national average that has increased 5.7 cents per gallon in the last week to $2.86/gallon, according to gasoline price website GasBuddy.com. […]

 

Amazon launches discount program for Prime members at Whole Foods | 512tech

Amazon launches discount program for Prime members at Whole Foods | 512tech

“We’re thrilled for Whole Foods Market to be part of the Prime experience,” Whole Foods co-founder and CEO John Mackey said in a written statement. “Launching savings for Prime members is an amazing opportunity to bring our industry-leading quality standards and delicious food to more customers at a better price.” To use the program, customers […]

 

Trump’s drug pricing plan pushes for increased price transparency, greater use of generics  | FierceHealthcare

Trump’s drug pricing plan pushes for increased price transparency, greater use of generics  | FierceHealthcare

Price transparency an immediate focus The Department of Health and Human Services has more than 50 actions in the works to address the drug pricing issue, said Secretary Alex Azar. For example, Azar said he has directed the FDA to investigate ways to improve price transparency around drugs, including listing the prices of brand-name medications […]

 

Trump Promises Lower Drug Prices, but Drops Populist Solutions | The New York Times

Trump Promises Lower Drug Prices, but Drops Populist Solutions | The New York Times

WASHINGTON — President Trump vowed on Friday to “bring soaring drug prices back down to earth” by promoting competition among pharmaceutical companies, and he suggested that the government could require drugmakers to disclose prices in their ubiquitous television advertising. But he dropped the popular and populist proposals of his presidential campaign, opting not to have […]

 

Uber under state investigation for surge pricing during storm emergency | The Boston Globe

Uber under state investigation for surge pricing during storm emergency | The Boston Globe

At issue is a 2016 Massachusetts law meant to prevent the ride-hail firms from using surge pricing during major storms, catastrophes, and other officially declared states of emergency. But Uber — which does not deny raising prices during the storm — argues the language of the law does not actually ban surge pricing. The law […]

 

With Walmart’s imminent entry, Amazon may reset growth and profitability targets | Business Line

With Walmart’s imminent entry, Amazon may reset growth and profitability targets | Business Line

Pricing strategy While Amazon entered the Food & Groceries category four years ago, which it is betting on to make it the daily, weekly, monthly shopping site of choice for Indians who spend a substantial portion of their monthly income on food, groceries and other consumables, it will have to tweak its pricing strategy to […]

 

More Headlines

‘Surge pricing’ mooted for car parks in Adelaide’s CBD | INDaily

‘Surge pricing’ mooted for car parks in Adelaide’s CBD | INDaily

The council plans to replace the majority of the city’s 2800 ticketed on-street car parks with “smart-parking” technology by the middle of the year – and eventually, all of them. The smart parking program will see thousands of in-ground sensors installed in city car parks, and a new mobile application launched, to allow motorists to […]

 

How reconsidering pricing strategy could help save more hepatitis C patients | Becker’s Hospital Review

How reconsidering pricing strategy could help save more hepatitis C patients | Becker’s Hospital Review

Hepatitis C treatment experts are recommending a revised pricing strategy implemented at the state level that could help a greater number of affected patients access the treatment, according to a report published in Annals of Internal Medicine. “These innovative therapies can cure hepatitis C, but the high costs put them out of reach for the […]

 

Spireites CEO explains season ticket pricing strategy as details are released | Derbyshire Times

Spireites CEO explains season ticket pricing strategy as details are released | Derbyshire Times

Chesterfield hope their reduced season ticket prices will entice many supporters to renew for next season in the National League. The club’s CEO Michael Dunford has explained the thinking behind the reductions, with prices being made public today before the tickets are put on sale next Monday. Matchday tickets will range from £16 to £20, […]

 

Massachusetts Rejects Smart Meter Rollouts, as Competitive Energy Undermines the Business Case | Greentech Media

Massachusetts Rejects Smart Meter Rollouts, as Competitive Energy Undermines the Business Case | Greentech Media

The problem is that each utility customer that switches to a non-utility energy provider is no longer part of each utility’s list of prospective time-varying rate (TVR) adopters, even though the utility paid for the smart meter that made them available. And while third-party retailers and municipal aggregators could offer TVRs of their own, “there […]

 

Drug price confusion: Trump talks big, but can he deliver? | AEI

Drug price confusion: Trump talks big, but can he deliver? | AEI

In his usual fashion he could draw some superficial or highly specific (and hence meaningless) price reductions by a Twitter storm against various EU nations. But to really have an impact he’d have to work in concert with manufacturers and support their withholding product sales into EU until higher prices were paid. It is both […]

 

Trump lays out plan to slash drug costs | Chemistry World

Trump lays out plan to slash drug costs | Chemistry World

The US pharmaceutical industry has concerns about President Trump’s blueprint to address the high cost of medicines in America, unveiled in a speech in the White House’s iconic Rose Garden on 11 May. The administration’s new strategy explicitly targets ‘excessively high drug prices, foreign freeloading, and a system rigged to reward list price increases’. The […]

 

Who Benefits From Transparent Pricing? | INSEAD Knowledge

Who Benefits From Transparent Pricing? | INSEAD Knowledge

Price opacity used to be the norm, but the arrival of the internet – with mass information sharing and price comparison sites – changed the consumer world for good. In the B2C world, consumers can find the cheapest deal with just web access and a bit of time. Although the B2B realm is somewhat more […]

 

Bumble Bee CEO indicted on charge he fixed canned tuna price | Yahoo!

SAN FRANCISCO (AP) — U.S. prosecutors filed a criminal charge Wednesday against the CEO of Bumble Bee Foods as part of an ongoing investigation into price fixing in the packaged seafood industry. A grand jury in San Francisco indicted Christopher Lischewski on one count of price fixing, alleging that from November 2010 to December 2013 […]

 

Truck driver shortage sends shipping costs sky-high | CNN Money

Truck driver shortage sends shipping costs sky-high | CNN Money

Companies paid about 6% more for trucking in April than a year ago, the fastest growth in almost seven years, according to the Labor Department. Thomas Bene, chief executive of the food services company Sysco (SYY), told analysts last week that freight costs are “somewhat challenging” and “everyone is seeing that.” Tyson Foods (TSN) CEO […]

 

Going Green: Student’s lawn care business takes root in Ardmore | Ardmoreite

Going Green: Student’s lawn care business takes root in Ardmore | Ardmoreite

He said another factor in his businesses’ growth is his willingness to do jobs for, at times, pennies on the dollar. His pricing strategy is cutthroat, but that’s not to say he’s being taken advantage of. Green said that’s the first thing he says when he enters a job with a new client. “When I […]

 

Uber defends fare model | Boston Herald

Uber defends fare model | Boston Herald

Uber’s surge pricing has been a much-criticized part of the company’s business, but the company says it plays a critical role in making sure there are enough drivers for every rider. The additional rate kicks in when demand for rides outweighs the number of drivers who are available. If drivers see demand is spiking in […]

 

Is it OK to Publish Pricing on My Website? | Business 2 Community

Is it OK to Publish Pricing on My Website? | Business 2 Community

Many B2B and B2C businesses face the same question: What will bring more sales, disclosing our prices or having prospects contact us? The answer to this question varies. As consumers, we live in a world of instant gratification. We are accustomed to finding the information we need right away. We rarely send emails. Instead, we […]

 

Company Costs Are Rising, but Getting Shoppers to Pay More Is Hard | WSJ

Company Costs Are Rising, but Getting Shoppers to Pay More Is Hard | WSJ

Higher input costs are pressuring U.S. companies to raise prices—a potential precursor to more consumer inflation—but shoppers are resisting their efforts to do so. Businesses are facing higher costs for everything from fuel and freight hauling to steel to accounting services. Input price increases have outstripped consumer price increases since late 2016, with some pipeline […]

 

Oil prices respond to U.S. move on Iran with surge | UPI.com

Oil prices respond to U.S. move on Iran with surge | UPI.com

Global spare capacity is at a premium. Late Tuesday, the American Petroleum Institute reported U.S. commercial crude oil inventories declined 1.8 million barrels last week, far greater than the 400,000 barrel drop forecast by commodity pricing group S&P Global Platts. While the United States is producing more oil, it’s also exporting more. Extra supplies from […]

 

The Australian dollar is getting a boost from surging crude oil prices | Business Insider

The Australian dollar is getting a boost from surging crude oil prices | Business Insider

“After yesterday’s decision by President Trump to pull out of the Iranian nuclear deal and reinstate sanctions on Iran, oil prices embarked on a steady rise aided as well by overnight news of an unexpected drop in US stockpiles, reinforcing the notion that the oil market is tightening and hence vulnerable to a reduction of […]

 

Minimum unit pricing in England is back under consideration | The Drinks Business

Minimum unit pricing in England is back under consideration | The Drinks Business

Speaking in the House of Commons yesterday, junior health minister Steve Brine said health officials carry out a “review of the evidence for minimum unit price in England,” as part of the government’s commitment to tackling problem drinking. “That’s why we are developing a new alcohol strategy,” he said. Scotland became the first country to […]

 

Boycott: Sidi Ali Blames Prices on Taxes, Angers Boycotters | Morocco World News

Boycott: Sidi Ali Blames Prices on Taxes, Angers Boycotters | Morocco World News

Prices Remain the Same Refuting the claims of boycotters, who said that the company has monopolized the Moroccan market and increased its prices, Sidi Ali wrote that it made a decision not to “increase the selling prices of all bottle sizes since 2010.”  The decision was taken “despite steady inflation and the increase of the […]

 

Watchdog: No evidence of ‘price gouging’ on bin charges | RTE

Watchdog: No evidence of ‘price gouging’ on bin charges | RTE

A watchdog group set up to monitor waste charges says it has not found evidence of “price gouging” with the phasing out of flat fee collections. Frank Conway, Chair of the Price Monitoring Group, told an Oireachtas Committee that “while fluctuations in prices and service offerings have been observed, the overall trend is relative price […]

 

Self-Insurance Is Just the Start, Say Health Plan Innovators | SHRM

Self-Insurance Is Just the Start, Say Health Plan Innovators | SHRM

A Maze of Costs For both fully insured health plans and self-insured plans that use an insurance carrier as the third-party administrator (TPA), “the revenue and profit model is built on costs going up,” said Contorno. Paying brokers a percentage of premiums, typically through the carriers, is part of the problem. The insurance carriers’ view, […]

 

More Advisors Experimenting with Alternative Pricing Models | Wealth Management

More Advisors Experimenting with Alternative Pricing Models | Wealth Management

Some advisors are content to ride out their careers with their current client roster, feeling little need to grow their practice by attracting the attention and assets of younger clients. But there are some that do feel the need, either because they understand it’s their fiduciary duty to steward their clients’ assets into the next […]

 

The Price Ain’t Right? Hospital Prices and Health Spending on the Privately Insured | Health Care Pricing Project

The Price Ain’t Right? Hospital Prices and Health Spending on the Privately Insured | Health Care Pricing Project

Abstract: We use insurance claims data covering 28 percent of individuals with employer-sponsored health insurance in the US to study the variation in health spending on the privately insured, examine the structure of insurer-hospital contracts, and analyze the variation in hospital prices across the nation. Health spending per privately insured beneficiary differs by a factor […]

 

Daily on Healthcare:Trump drug price strategy to push generics, pressure foreign countries | Washington Examiner

Daily on Healthcare:Trump drug price strategy to push generics, pressure foreign countries | Washington Examiner

Trump to highlight generic drugs as key to lowering prices. President Trump on Friday will explain how bringing more generic drugs to the market faster can help lower prices for patients, according to his health chief. Health and Human Services Secretary Alex Azar told a Senate Appropriations Committee hearing that the administration’s goals are to […]

 

Despite backlash, loot boxes could be essential to gaming’s future | Ars Technica

Despite backlash, loot boxes could be essential to gaming’s future | Ars Technica

With all the controversy, scrutiny, and international regulation randomized video game loot boxes are facing these days, you might think the practice of charging players for a chance at unknown in-game items might be set for a precipitous decline. On the contrary, though, one analyst sees spending on loot boxes increasing by over 62 percent in the […]

 

U.S. muni bond firms race to comply with new price transparency rule | Reuters

U.S. muni bond firms race to comply with new price transparency rule | Reuters

Trading in some corporate bonds, under an amendment to Financial Industry Regulatory Authority rules, will also be affected. Under the rule, muni brokers will be required to determine a baseline number, known as a “prevailing market price,” in order to show retail investors how much prices for a bond transaction were marked up or down. […]

 

Factors Setting the Tone for SeaWorld (SEAS) in Q1 Earnings | Zacks.com

Factors Setting the Tone for SeaWorld (SEAS) in Q1 Earnings | Zacks.com

Historically, the first and fourth quarters of each year are seasonally weak for SeaWorld. The company’s top line is expected to decline sequentially but is poised to witness year-over-year growth. Meanwhile, SeaWorld is increasingly focusing on its marketing strategy to highlight brand attributes and new additions. All of these are expected to boost attendance in […]

 

66 Express Lanes collect more than $6 million in tolls during first 4 months of operations | The Washington Post

66 Express Lanes collect more than $6 million in tolls during first 4 months of operations | The Washington Post

The peak-direction, rush-hour toll lanes operate on a dynamic pricing system, meaning the toll fluctuates based on demand, traffic and speed. There were about 13,656 vehicle trips per day eastbound between 5:30 and 9:30 a.m., and 16,447 vehicle trips per day westbound between 3 and 7 p.m., according to VDOT’s latest performance report. Nearly 44 percent of […]

 

New study on air fares reveals that airport charges don’t determine ticket prices | Airport World Magazine

New study on air fares reveals that airport charges don’t determine ticket prices | Airport World Magazine

Competition on routes holds the key ACI Europe president and CEO of Munich Airport, Dr Michael Kerkloh, commented: “The study spells it out very clearly that the underlying demand and the level of competition between airlines on any given air route are the key determinants of air fares. “This means that airlines will always aim […]

 

 

Launch of bitcoin futures dragged down prices, Fed paper shows

Launch of bitcoin futures dragged down prices, Fed paper shows

Until futures existed it was extremely difficult, if not impossible, to bet on the decline of bitcoin prices, the researchers said. As optimistic investors continued to bid up, the cryptocurrency rose more than 1,300 percent in 2017. The pessimists meanwhile, had no financial way to back a belief that the bitcoin price would collapse. “So […]

 

Thrifting saves pockets, recycles clothes | The Brookhaven Courier

Thrifting saves pockets, recycles clothes | The Brookhaven Courier

Thrifting is an example of one person’s trash being another person’s treasure. Thrifters have the opportunity to shop a variety of clothes at discounted prices. Racks are filled with rare fashion finds waiting to be worn. Thrifting is not a typical shopping experience, but it can lead to some unique finds if shoppers are willing […]

 

Alaska Legislature passes bill addressing drug pricing, PBMs | State of Reform

Alaska Legislature passes bill addressing drug pricing, PBMs | State of Reform

The Alaska Legislature has passed House Bill 240, which improves prescription price transparency for patients and includes some guidelines for pharmacy benefit managers (PBMs). Under the bill, patients can now be informed of the lowest available price for their prescription. The bill requires that PBMs provide pharmacies with the methodology and sources used to determine […]

 

 

 

Pricing Manager | Carrier Enterprise

Pricing Manager | Carrier Enterprise

Seniority Level: Mid-Senior level

Industry: Building Materials Consumer Goods Retail Employment

Type: Full-time

Job Functions: Sales Management Analyst

Job description

Carrier Enterprise is looking for talented individuals to join our team. We currently have exciting opportunities for a Pricing Manager in Charlotte, NC and Orlando, FL. The Pricing Manager role is the dedicated revenue management leader for their […]

 

Pricing Manager | Xylem Inc.

Pricing Manager | Xylem Inc.

Seniority Level: Mid-Senior level

Industry: Electrical/Electronic Manufacturing Utilities

Type: Full-time

Job Functions: Finance Marketing Product Management

Job description

Xylem (XYL) is a leading global water technology company committed to developing innovative technology solutions to the world’s water challenges. The Company’s products and services move, treat, analyze, monitor and return water to the environment in public utility, industrial, residential […]

 

 

Events and Resources

Webinar: Drive Greater Profits with Expert Pricing and Quoting Using a Joint Solution 24-May | Tour de Force & SPA

Date: May 24, 2018

Time: 2:00 PM Eastern

Customer quoting and pricing can be complex for distributors and manufacturers who have a significant number of products and customers. Sales teams can often struggle with identifying and quoting optimal pricing that balances profitability and competitiveness.

Automating and integrating your pricing and quoting processes can quickly lead to increased profitability through better controlled margins and sales growth through consistent, fair, and timely market pricing.

Through Tour de Force’s partnership with SPA, Inc., we provide an end-to-end automated quote-to-order solution that provides both the functionality and visibility that your sales teams need to better manage customer relationships, pricing, and margins.

Fall Pricing Workshops & Conference | PPS

Date: October 23-26, 2018

Location: Renaissance Dallas Addison Hotel in Addison, TX

Please make plans to join us and well over 450 of your peers for the best event anywhere. We will be in Dallas, TX, October 23-26, 2018.

Don’t miss out on the Early Bird Discount (When 2 people from the same firm register at the same time (item of equal or lesser value), the 3rd registrant can attend FREE of charge). Offer expires September 14th!

 

 

This blog series provides a forum for pricing professionals to share their insights and experience. Our guest bloggers share their knowledge about specific product or industry challenges, geographic complexities, strategies, tactics, and technologies.

 

Top Discussions

This blog category offers a collection of top pricing related conversations on LinkedIn or in the comments section of pricing related blogs and articles.

 

Pricing News LinkedIn Group

Join over 5,000 of your peers in the our LinkedIn discussion group. The group offers a place to share the latest pricing strategy and technology, news, events, resources, thought leadership, and discuss the latest pricing related successes and failures in the news.

 

Pricing Resources

Explore our collection of valuable pricing resources including:

 

The following is a daily-dose of pricing cartoons and quotes, enjoy…

 

 

“Product Pricing is aligned to the way customers want to acquire their solutions and are delivered via different delivery models including appliances, the cloud, or as on-premise software solutions.

     – N. Robert Hammer