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Pricing stories-1


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Short pricing stories from the news.

Published in: Business
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Pricing stories-1

  1. 1. Four Short Pricing Stories of the Week<br />Rags Srinivasan @pricingright Iterative Path<br />
  2. 2. Not Effective Pricing<br />Pricing should be about profit maximization and not about meeting arbitrary capacity utilization goals<br />See: Effective Price Management<br />
  3. 3. Case for Dynamic Pricing?<br />Priced at 99 cents, iPhone App Doodle Jump had 5 million downloads. Is this a case for Dynamic Pricing – Increasing price with popularity?<br />
  4. 4. Discontinuing the Good Enough Version<br />P&G discontinued its lowest priced version of Tide that was introduced to compete against store brands. They probably found the version was good enough for most Tide customers<br />See: News Article<br />
  5. 5. Real Price of iPhone 4 When You Stand in Line for 8 Hours<br />Will you pay $500 more to get the iPhone 4, a day before most people?<br />Then why stand in line for hours?<br />Are you paying for the phone or the experience of standing in line?<br />