NO WHERE NEAR ENOUGH THOUGH IS GIVEN TO DEVELOPING STRATEGIC APPROACHES TO PRICE This is the fourth of five articles in THE REPORT this week on the subject of pricing – considering strategies for maximising margins in the short, medium and long terms. There are a range of strategies that can be used to achieve […]

NO WHERE NEAR ENOUGH THOUGH IS GIVEN TO DEVELOPING STRATEGIC APPROACHES TO PRICE This is the fourth of five articles in THE REPORT this week on the subject of pricing – considering strategies for maximising margins in the short, medium and long terms. There are a range of strategies that can be used to achieve an optimum pricing or at the very least reduce the reliance on simple discounting. An increasingly popular pricing strategy is ‘contextual pricing’. All products and services are evaluated in context taking into account the range of factors in that context. All purchase behaviour is based on contextual judgements. Dan Ariely commented – ‘most people don’t know what they want until they see it in context’ Price is also considered in context and smart pricing strategies are enhanced by supporting strategies designed to create the context that in turn creates the perception of value – thus…