Frequently asked questions
What does a pricing consulting firm do?
We’re a product consultancy that focuses on innovations in pricing for technology products, platforms, and services. We uncover your optimal monetization opportunity, and then design the product and service packaging that delivers your monetization goals. While we begin by setting up a pricing and monetization strategy for your portfolio of offerings, the real value we bring is in identifying where growth lies and how a good pricing and monetization strategy might help drive that.
What's included in the Pricing Canvas™ Workshop?
The Pricing Canvas ™ Workshop has three distinct phases. We first submit a detailed data request and conduct discovery interviews with your team. Then, we work together through a half or full-day workshop to draft a Pricing Canvas™ that is specific to your pricing opportunity. Finally, we re-engage for another session, a week or two later, and review the pricing plan that your team put together based on the workshop.
What's a Rapid Pricing Assessment™?
Rapid Pricing Assessment ® is an opportunity analysis and pricing plan to quantify your optimum monetization opportunity. We work rigorously with your team and create a value model of your offerings using the principles of the Pricing Canvas ™. Then, we determine a high-level pricing and monetization strategy for you to validate, test, and deploy.
What can a new pricing strategy do for us?
Pricing is one of the most powerful levers to transform a good product into a good business. A key set of metrics such as profitability, average revenue per customer, conversion, customer lifetime value, and retention are all driven by your pricing strategy, structure, and model.
What's your process like?
First, we discover the right pricing structure, pricing model, and pricing window specific to your space and product lifecycle. We then use that learning to configure and/or reconfigure your product and offer structures. Next, we field test and validate your new product and service pricing, quantitatively. Finally, we help you align your product, offer, pricing, and cost structures with your go-to-market plan.
What does a good pricing strategy look like?
Your pricing strategy aligns your product, offer, and pricing structures with your overall growth strategy. Getting pricing strategy right means identifying the pricing structure, pricing model, and pricing window, that drives acquisition, monetization, and profit growth - all at once.
What's in a pricing structure?
Your pricing structure is key to aligning your prices with each of your customer segments. A good pricing structure is one that maximizes the revenue from different types of customers. This is an area where many product owners and marketers experience great difficulty, especially in fencing their new offerings in relation to their current offerings.
How do you determine willingness-to-pay?
We have the following primary data collection options are available and included in most of our plans:
Pricing research design and survey(s)
In-depth customer and prospect interviews
Design of experiments for price testing and validation
Competitive market mapping
Full market simulations
Other primary research methods
What is value-based pricing?
The goal of value pricing or value-based pricing is to align your pricing structure with the value that is received by each of the different types of customers in relation to adopting the other alternatives in the market.
How do you price your own services?
Well, as they often say in the tech space, "We eat our own dog food." Our pricing engagements vary by a few dimensions such as by the breadth and lifecycle of your portfolio of offerings and the level of qualitative and quantitive research techniques that we deploy throughout our engagement.