There are two games each evening during the World Cup (at least in Europe– the rest of the world enjoys less prime-time friendly slots). Unfortunately for pubs, there is a gap of about an hour and a half between the … Read More
pricing strategy
Theme Parks Split on Summer Pricing
With summer here, theme parks and other youth-oriented businesses have 3 months to make hay. (Technically, hay gets made in the fall, but it’s a small discrepancy.) CNN reports that Cedar Point amusement parks has dropped admission prices and many … Read More
An Intriguing Idea from… the Post Office?
An alert reader sent me this timely article from the Washington Post on the “forever stamp.” The idea is that the stamp is always worth whatever the first class postage rate costs. Apparently, that’s now 39 cents, which is bad … Read More
Why Pricing Has to Align with the Rest of the Company
Seth Godin recently posted an piece on his blog called Razors and blades, about trouble with an HP printer. Like razors, printers are a money-losing business. The profit comes from the blades and the cartridges that people keep coming back … Read More
Price Confusion as a Skimming Strategy
Slate posted an article recently that suggests that cellular carriers offer confusing plans to make extra money off people who aren’t willing to dig around for bargains, rebates, and better plans. There is a good deal of merit in the … Read More
GM to Stay the Course on Pricing
Despite lowered sales, GM vowed to continue its efforts to offer MSRP figures close to what customers will actually pay. GM is trying to break a strong addiction to big incentives that have eroded profits and brand image, and made … Read More
4 Strategies for Making Concessions
There’s a good article in the Harvard Business School’s Working Knowledge newsletter about using concessions effectively that everyone involved in setting, managing, or enforcing discounts should read. Author Deepak Malhotra provides four strategies for making concessions. Label your concessions– make … Read More
Struggling Tivo Revamps Pricing
Digital Video Recorder (DVR) pioneer Tivo has altered its pricing strategy amidst slowing subscriber growth. The main change is that there will be no charge for the “box” which previously cost up to several hundred dollars (but was usually much … Read More
Overcaution Stalled New Sun Pricing Strategy
Sun CEO Scott McNealy said that overly cautious managers delayed the release of a new pricing strategy based solely on the customer’s number of employees. McNealy said that Sun was too late with certain products to compete head-to-head with IBM … Read More
Rude Restaurant Bartenders– It’s About Fencing
Here’s a timely article that makes a good example for our Good Fences Make Good Prices post. about why restaurants offer food service at the bar, and why the level of customer service there may be very different from the … Read More