Deciding | Communication Strategies | Execution: Add Value, Timing, Grandfathering Previous Chapter [7 min. read] Pricing policies aren’t static. Costs fluctuate, market conditions change, and our understanding of pricing evolves. Inevitably prices change. And by
Chapter 9. Pricing in Practice
Unit Economics | Price Leaks | LTV:CAC Previous Chapter | Next Chapter [6 min. read] “Unit economics” is an academic phrase. But it’s really cool and important. Here’s what it means. 9a. Unit Economics The
Chapter 8. Pricing Optimization
Split Testing | Dynamic Pricing Previous Chapter | Next Chapter [3 min. read] We’ve been painting with a broad brush so far. Big pricing decisions. But what about minor tweaks? I like to view pricing
Customer Type: B2B/B2C | Buyer’s Journey (GTM): Sales-Led v. Self-Directed | Psychology 2Effects and Cognitive Biases Previous Chapter | Next Chapter [15 min. read] The human brain is the most complex thing in the universe.
STP | Unit of Sale/Value | Marketing Mix Previous Chapter | Next Chapter [5 min. read] Positioning is about context. To establish context it can be helpful to start from a global, zoomed-out perspective and
Linear | Partial Tariff | Tiers, Bundling, & Discounts Previous Chapter | Next Chapter [9 min. read] How you structure pricing can impact value, perceptions, and WTP. According to Madhavan Ramanujam, “How you charge is
Cost-based: Asset, Market, or Income (DCF/NPV) | Value-Based: WTP | Markup v. Margin | Surveys: Van Westendorp, Gabor-Granger, Conjoint Analysis Previous Chapter | Next Chapter [13 min. read] Pricing is arbitrary. The Pricing Uncertainty Principle
Value | Demand Curves | Skimming | Penetration | Value Maximization Previous Chapter | Next Chapter [5 min. read] There are three (and only three) pricing strategies: 3a. Skimming 3b. Penetration 3c. Value Maximization Understanding
Strategy | Method | Structure | Positioning Previous Chapter | Next Chapter [1 min. read] There are both strategic and tactical elements to pricing. I love the framework of Pricing Components listed by Tomasz Tunguz
Alternate Objectives | Revenue Growth Levers Previous Chapter | Next Chapter [2 min. read] What’s your pricing goal? What’s the objective? The objective is typically some type of revenue growth. That’s the default and most
