Earlier this month, we examined Psychology and Pricing. Today, we take a broader view. And we discuss designing a better pricing strategy. Tomorrow, we examine Netflix’s evolving prices.
An Infographic on Designing a Better Pricing Strategy
Recently, Fundera presented an excellent overview of pricing strategy. And it included an infographic with many pricing tips. As reported by Elizabeth Kellogg:
“In reality, every entrepreneur faces the complex question of how to price their good or service. Yet, it’s a decision that can make or break your business. Unfortunately, there’s no set formula for this calculation. And experts hold vastly different opinions on the matter. You might have heard the popular maxim that pricing is more art than science. Fundera’s research bears out this principle. Not to worry — we’ll walk you through each factor to consider as you determine price, so you can settle on the model that’s right for your enterprise.”
In her article, Kellogg includes topics such as these: Compute your costs. Determine the desired profit. Know the customer. Research the competition. Common pricing models. Monitor prices.
At this point, read through the helpful infographic.