Pricing on Purpose: Creating and Capturing Value
Pricing on Purpose explores the importance of pricing, one of the four Ps (product, promotion, place, and price) of marketing, that is largely ignored in business literature. Pricing is the opportunity for a business to capture the value of what it provides to the customer, and deserves as much attention as promotion, product and place in the marketing strategy of any business. This book calls attention to the market share fallacy, explains the difference between cost-plus pricing and value pricing, and provides best-practice pricing examples. It presents the theory of value—long established in the economics profession—and how any business can use various pricing strategies to communicate and capture the value of their products and services.
What people are saying - Write a review
We haven't found any reviews in the usual places.
and the Assumption of Rationality
No One Person Knows
8ATale of Two Theories
CostPlus Pricings Epitaph
The Wrong Mistakes
PriceLed Costing Replaces Cost Accounting
What and How People Buy
The Value Proposition
There Is No Such Thing as a Commodity
Bad Customers Drive Out Good Customers
Ethics Fairness and Pricing
Who Is in Charge of Value?
Getting Paid for the Value Your Company Creates
The Consumer Surplus and Price Discrimination
Customer Segmentation Strategies
Price Discrimination in Practice
Other editions - View all
activity-based costing airline antitrust laws behavior better brand buyers capacity capture Chapter charge commodity company’s competency competition competitors consumer surplus cost accounting cost-plus pricing create customer’s customers demand curve determine developed different prices discount Disney economic economists effect efficiency equation exist experience explain firm firm’s flight free market George Gilder human ibid ideas important industry innovation intellectual capital iPod knowledge learning loyalty marginal market share million Nagle and Holden needs Neiman-Marcus offering organization penetration pricing percent Peter Drucker premium price discrimination price sensitive price theory Pricing on Purpose pricing strategies profit purchase revenue risk segments sell Smith’s social sold Stanley Marcus Steven Landsburg subjective theory team members theory of value things Thomas Sowell tickets tion today’s tomers understand utility value proposition wealth yield management
Page xv - THE ROAD NOT TAKEN Two roads diverged in a yellow wood, And sorry I could not travel both And be one traveler, long I stood And looked down one as far as I could To where it bent in the undergrowth...
Page 49 - I have never known much good done by those who affected to trade for the public good. It is an affectation, indeed, not very common among merchants, and very few words need be employed in dissuading them from it.
Page 49 - By preferring the support of domestic to that of foreign industry he intends only his own security; and by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain, and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention.
Page 50 - How selfish soever man may be supposed, there are evidently some principles in his nature, which interest him in the fortune of others, and render their happiness necessary to him, though he derives nothing from it except the pleasure of seeing it.
Page 66 - There are some commodities the value of which is determined by their scarcity alone. No labour can increase the quantity of such goods, and therefore their value cannot be lowered by an increased supply. Some rare statues and pictures, scarce books and coins, wines of a peculiar quality...
Page 65 - Labour alone, therefore, never varying in its own value, is alone the ultimate and real standard by which the value of all commodities can at all times and places be estimated and compared.
Page 119 - Friends, Romans, countrymen, lend me your ears; •> I come to bury Caesar, not to praise him. The evil, that men do, lives after them; The good is oft interred with their bones; \ So let it be with Caesar.
Page 65 - The value of any commodity, therefore, to the person who possesses it, and who means not to use or consume it himself, but to exchange it for other commodities, is equal to the quantity of labour which it enables him to purchase or command.