Afleveringen
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This is an Impact Pricing Blog published on April 14, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/willingness-to-pay-is-not-rational/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Mark Stiving is a pricing expert and the host of the Impact Pricing podcast, where he explores the intricate relationship between pricing, value, and context. With a wealth of experience in pricing strategies, Mark is passionate about helping companies maximize their revenue through effective pricing techniques.
Steven Forth is the co-founder and Managing Partner at Ibbaka, a leading pricing strategy consultancy. With deep expertise in B2B SaaS pricing and value-based pricing models, Steven has been at the forefront of pricing innovation for over two decades. He's passionate about the intersection of pricing strategy, customer value, and emerging technologies like AI agents.
In this episode, Steven turns the tables on Mark to explore context-driven pricing – Mark's revolutionary framework that's changing how pricing professionals think about willingness to pay. Together, they dive deep into the four contexts that drive every pricing decision, the three-layer business framework that organizes pricing strategy, and why perfection is the enemy of progress in pricing.
Why you have to check out today’s podcast:
Discover the concept of context-driven pricing and its significance in today's market. Learn how different contexts, such as environmental and customer factors, influence pricing decisions. Understand the importance of defining the problem to effectively implement pricing strategies.“Willingness to pay is contextual.”
– Mark Stiving
Topics Covered:
01:37 – What motivated Mark to think about Context-driven Pricing?
03:15 – The four categories of context: problem, customer, behavioral, and environmental.
04:52 – How environmental factors influence willingness to pay?
06:01 – The role of competitors in shaping pricing strategies.
08:13 – Understanding the foundational problem and its impact on pricing decisions.
14:01 – The intersection of context-driven pricing and AI.
24:58 – Key takeaways on implementing context-driven pricing effectively.
Key Takeaways:
“Pricing is about understanding the context in which a buyer operates.” – Mark Stiving
“Defining the problem is crucial to determining willingness to pay.” – Mark Stiving
“Perfection is impossible; focus on being better every day.” – Mark Stiving
Resources and People Mentioned:
Steven Forth: https://www.linkedin.com/in/stevenforth/ Ibbaka: https://www.ibbaka.com/ Craig Zawada: https://www.linkedin.com/in/craig-zawada-a0a39029/ Pros: https://pros.com/ Stephan Liozu: https://www.linkedin.com/in/stephanliozu/ Zilliant: https://zilliant.com/ Gabe Smith: https://www.linkedin.com/in/gabesmith/ PriceFX: https://www.pricefx.com/Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on April 7, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/tariffs-are-a-second-chance/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Alastair Dryburgh is the Chief Pricing Architect at Intelligent Pricing Architecture and the author of the book “Pricing Genius.” With a background in commercial direction for a marketing consultancy in the pharmaceutical industry, Alastair has spent years honing his expertise in pricing strategies, particularly for creative agencies and consultancies. He believes in the power of value capture and the importance of differentiation in a competitive market.
In this episode, Alastair shares his insights on the significance of value over pricing, the necessity of focusing on unique offerings, and how consultants can effectively communicate their value to clients. Together, they discuss the challenges of pricing in a crowded marketplace and the impact of AI on consulting practices.
Why you have to check out today’s podcast:
Discover how to capture value effectively in your pricing strategies. Learn the importance of differentiation in a competitive consulting market. Explore the relationship between pricing, value, and client outcomes.“Consider seriously the possibility that you are ten times as good as your competitors in at least part of what you do, and you should not rest until you have found a way of getting paid in accordance with that.”
– Alastair Dryburgh
Topics Covered:
01:16 – Meet Alastair Dryburgh, a pricing expert with a unique background in the pharmaceutical industry.
01:55 – Discover the pivotal moment in the pharmaceutical sector that reshaped Alastair's career.
05:22 – Learn why successful pricing hinges on value capture rather than value creation.
05:52 – Understand the oxygen vs. coffee analogy that clarifies the pricing dilemma.
07:37 – Explore the consultant's dilemma of "Will I" vs. "Which one" decisions.
09:33 – Find out why many consultants appear the same and how to differentiate yourself.
11:04 – Uncover the proprietary process strategy inspired by McKinsey that can set you apart.
13:45 – Understand why specialization simplifies your business and enhances your appeal.
16:43 – Learn how to position yourself as the only choice for potential clients.
24:17 – Examine the impact of the AI revolution on consulting pricing models.
28:18 – Get final advice on recognizing and leveraging your 10x advantage in the market.
Key Takeaways:
"It's about value capture, not value creation - you may be creating vast amounts of value but capturing only a tiny fraction of it." – Alastair Dryburgh
"Every time I got more specialist, things got easier - your marketing becomes clearer and clients know immediately if they're your target." – Alastair Dryburgh
"If you're using AI to reduce costs with a cost-plus pricing model, it will kill you - you're just saving your way out of business." – Alastair Dryburgh
Resources and People Mentioned:
Intelligent Pricing Architecture: https://www.linkedin.com/company/intelligent-pricing-architecture/ Pricing Genius (book): https://www.amazon.com/Pricing-Genius-Getting-Properly-Advice/dp/1908770783 McKinsey & Co.: https://www.mckinsey.com/Connect with Alastair Dryburgh:
LinkedIn: https://www.linkedin.com/in/alastairdryburgh/ Free resource: http://alastairdryburgh.com/guide/Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on March 31, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/price-segmentation-at-national-parks/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Marcos Rivera is the founder of Pricing I/O and author of "Street Pricing." He brings 25 years of pricing experience, including a three-year tenure as an operating executive at Vista Equity Partners where he worked on pricing strategies across multiple portfolio companies. He's been running Pricing.io since 2019 and is passionate about the intersection of pricing and AI.
In this episode, Marcos shares his insights on the evolving landscape of pricing in the age of AI, the importance of capturing value, and how companies can differentiate themselves in a competitive market. Together, they discuss the shift from traditional pricing models to outcome-based pricing and the role of AI in enhancing pricing strategies.
Why you have to check out today’s podcast:
Discover how AI is changing the pricing landscape and what it means for businesses. Explore the relationship between pricing, value, and customer outcomes. Learn about the importance of low-friction entry points in pricing strategies.“AI forces you to walk the walk versus talk the talk.”
– Marcos Rivera
Topics Covered:
02:48 – The evolution of pricing in SaaS where the system gets credit for capturing more value using AI.
05:36 – The significance of capturing value quickly and efficiently.
08:09 – Differentiation in a competitive market and the role of pricing power.
12:16 – The importance of entry points and reducing friction for customers.
14:44 – How product design and pricing design are interconnected.
17:07 – The challenges of pricing in the AI landscape.
18:59 – Marcos's approach to using AI in pricing strategies.
28:56 – Pricing advice from Marcos.
Key Takeaways:
“Pricing is about capturing value, and AI opens up new opportunities for that.” – Marcos Rivera
“Entry points matter; make them as low friction as possible.” – Marcos Rivera
“Understanding how to differentiate your offering is crucial in a crowded market.” – Marcos Rivera
People and Resources Mentioned: Steven Forth: https://impactpricing.com/podcast/691-pricing-in-the-agent-economy-the-future-beyond-subscriptions-with-steven-forth/ Vista Equity Partners: https://www.vistaequitypartners.com/ Pricing.io: https://www.pricingio.com/ Finn AI: https://www.glia.com/ Zendesk: https://www.zendesk.com/ Cursor: https://www.cursor.com/ HubSpot: https://www.hubspot.com/ Salesforce: https://www.salesforce.com/ Snowflake: https://www.snowflake.com/en/ Netflix: https://www.netflix.com/ Slack: https://slack.com/ 99designs: https://99designs.com/ DeepSeek: https://www.deepseek.com/en ChatGPT: https://openai.com/ Claude: https://claude.ai/ Grok: https://grok.com/ Perplexity: https://www.perplexity.ai/Connect with Marcos Rivera:
LinkedIn: https://www.linkedin.com/in/marcoslrivera/ Website: https://www.pricingio.com/Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on March 24, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/reasons-why-b2b-salespeople-discount/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Steven Forth is the Co-founder & CEO of Ibbaka and a recognized expert in generative AI in pricing. With extensive experience in the intersection of artificial intelligence and pricing strategies, provides valuable insights into how agents are transforming the pricing landscape.
In this episode, Steven discusses the concept of AI agents, their role in pricing, and how they can deliver value in various contexts. Together, they explore the implications of AI-driven agents on user interfaces, pricing strategies, and the future of business interactions.
Why you have to check out today’s podcast:
Understand what agents are and how they differ from general-purpose AI. Discover how pricing strategies for agents can be structured around value delivery. Learn about the future of agent-to-agent interactions and their impact on pricing.“Understanding what job your agent is going to do is critical for pricing.”
– Steven Forth
Topics Covered:
02:07 – Definition of agents and their functionality.
03:17 – Differences between agents and general-purpose AI like ChatGPT.
05:11 – User interface simplicity and complexity in agent design.
08:16 – The AI agent layer cake and its implications for pricing.
11:12 – Access and usage-based pricing for agents.
14:03 – Outcomes-based pricing and its challenges.
16:16 – Tokenization.
20:27 – The importance of understanding the job an agent performs for pricing.
24:31 – Steven’s insights on the evolving landscape of pricing strategies.
31:28 – Steven’s pricing advice around agents.
31:53 – How to connect with Steven.
Key Takeaways:
“Agents make it easier to do things, and if those things are valuable, we’re going to do them a lot more.” – Steven Forth
“Pricing agents will require a shift in how we think about value delivery.” – Steven Forth
Resources and People Mentioned:
Jakob Nielsen: https://en.wikipedia.org/wiki/Jakob_Nielsen_(usability_consultant) OpenAI: https://openai.com/ Zilliant: https://zilliant.com/ Perplexity: https://www.perplexity.ai/ Salesforce's Agent Force: https://www.salesforce.com/ap/agentforce/ Marc Benioff: https://en.wikipedia.org/wiki/Marc_Benioff AI Agent Layer Cake: https://www.ibbaka.com/ibbaka-market-blog/how-to-price-ai-agentsConnect with Steven Forth:
LinkedIn: https://www.linkedin.com/in/stevenforth/ Email: [email protected]Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on March 17, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/practical-pricing-in-a-world-with-tariffs/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Mike Blake is the founder of High Score Strategies, with over 26 years of experience in business valuation and M&A markets. He specializes in advising small to medium-sized businesses (SMBs) on increasing their valuations. Mike is passionate about the relationship between pricing and value, and how effective pricing strategies can significantly impact a company's worth.
In this episode, Mike shares his insights on how pricing affects valuation, the importance of differentiation in a competitive market, and the shift from growth to profitability in business models. Together, they explore the concept of context-driven pricing, the significance of signaling in pricing strategies, and how companies can leverage their unique data to enhance their market position.
Why you have to check out today’s podcast:
Discover how pricing communicates a company's brand and market position. Explore the relationship between pricing, profitability, and business valuation. Learn about the importance of differentiation and how to create a competitive moat.“Pricing is language. It communicates to the market what kind of brand you are.”
– Mike Blake
Topics Covered:
01:37 – The relationship between pricing and valuation.
02:30 – The importance of pricing in determining profitability and cash flow.
03:39 – Differentiation and competitive moats in pricing strategies.
04:53 – The shift from growth to profitability in business models.
08:36 – Signaling in pricing and its impact on investor perception.
11:17 – How to differentiate in a market dominated by larger players.
13:23 – The relevance of pricing strategies for SMBs, and how service-based companies offer consulting as value-ad.
17:04 – What Mike does.
19:36 – Why businesses that don't know their business model.
20:53 – Why value-based pricing is excruciatingly difficult.
25:53 – Mike’s advice on pricing and negotiation.
Key Takeaways:
“Pricing is the stem cell for all of that. [Cash flow, revenue, and profitability]” – Mike Blake
“Companies that get pricing right are the most valuable.” – Mike Blake
“If you're selling 100% of your deals you're probably not optimizing your revenue because you're selling too cheaply.” – Mike Blake
“Understanding your unique data can create alternative revenue streams.” – Mike Blake
Connect with Mike Blake:
LinkedIn: https://www.linkedin.com/in/unblakeable/ Email: [email protected]Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on March 3, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/pricing-ai-the-rules-havent-changed-but-your-strategy-should/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Deepak Bhootra is the CEO of Jabulani Consulting, with over 19 years of experience in the tech industry, including significant roles at Hewlett Packard and Sun Microsystems. Deepak has a deep understanding of pricing strategies and their impact on sales performance. He is passionate about helping organizations navigate the complexities of pricing and sales operations.
In this episode, Deepak shares his journey into pricing and sales, discussing the cultural nuances of negotiation in India and how they influence pricing strategies. Together, they explore the challenges salespeople face with pricing, the importance of understanding value from the customer's perspective, and how AI can play a role in pricing strategies.
Why you have to check out today’s podcast:
Discover the common pitfalls salespeople face when discussing pricing. Explore the importance of aligning pricing with customer value and the psychological aspects of pricing. Learn how AI can enhance pricing strategies and sales effectiveness.“Pricing is something that companies use to control sales behavior. Salespeople don’t like to be controlled.”
– Deepak Bhootra
Topics Covered:
01:46 – Deepak introduces himself and shares his background in pricing.
03:10 – The cultural significance of negotiation in India and its impact on pricing.
07:44 – The relationship between sales and pricing and the challenges salespeople face.
14:21 – Discussion on the emotional aspects of pricing and how they affect sales decisions.
17:12 – Insights into the importance of understanding value from the customer's perspective.
23:09 – The role of AI in enhancing pricing strategies and sales effectiveness.
30:35 – Deepak’s pricing advice.
33:18 – Connect with Deepak.Key Takeaways:
“Salespeople need to understand the value of pricing and how it relates to customer perception.” – Deepak Bhootra
“Value is in the eye of the beholder. Understand what the customer values before discussing pricing.” – Deepak Bhootra
“When you ask a budget question right up front, you're actually setting yourself up for a pricing discussion.” – Deepak Bhootra
“Pricing is one of those conversations where you have complete control of your CRM updates, you have complete control over your forecast, your relationship, but you do not have control over the price because someone else dictates the price.” – Deepak Bhootra
“When you are looking at price, giving a discount is the easiest lever to pull right up front. And typically (salespeople) they do it because they can also bamboozle you with a lot of stuff.” – Deepak Bhootra
People/Resources Mentioned:
Jabulani Consulting: https://jabulaniconsulting.com Amartya Sen: https://en.wikipedia.org/wiki/Amartya_SenConnect with Deepak Bhootra:
LinkedIn: https://www.linkedin.com/in/deepakbhootra/ Email: [email protected]Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on February 24, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/the-single-perfect-price/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Vladyslav Podoliako is the founder and CEO of Belkins.io, a leading B2B appointment setting agency, and Folderly, an email deliverability system. With a strong entrepreneurial spirit and a focus on performance-based results, Vlad has successfully navigated the complexities of pricing in the B2B space. He is passionate about helping companies scale their businesses through effective client acquisition strategies.
In this episode, Vlad shares his journey from launching Belkins to evolving his pricing strategies as the company grew. Together, they explore the critical role of pricing in business growth, the importance of aligning pricing with customer value, and the unique challenges of pricing in the B2B landscape.
Why you have to check out today’s podcast:
Understand the significance of aligning pricing with customer value and performance. Discover the importance of testing pricing strategies and gathering client feedback. Explore the psychological aspects of pricing and how they influence customer decisions.“Pricing is like blood in the veins for a growing company. You should have a great pricing model that is scalable and profitable.”
– Vlad Podoliako
Topics Covered:
01:10 – Vlad introduces himself and discusses the common misinterpretation of his company names.
02:15 – The importance of pricing in Vlad's entrepreneurial journey and how it evolved over time.
04:36 – Overview of Belkins and its approach to client acquisition.
06:51 – Discussion on the pricing model based on sales qualified leads (SQLs) and its correlation with client ROI.
09:32 – Insights into product packaging and the pricing strategy for Folderly.
13:15 – The impact of high pricing on customer expectations and delivery pressure.
15:42 – The psychological aspects of pricing and how they relate to perceived value.
19:41 – Discussion on the entrepreneurial spirit in Ukraine and its impact on business success.
24:21 – In scaling your company, how often should you revisit your pricing?
26:50 – Vlad’s advice on being courageous with pricing and testing strategies.
28:01 – Thoughts on ChatGPT pricing for pro.
30:01 – Connect with Vlad.
Key Takeaways:
“Be courageous about your pricing. Test it out more than you strategize theoretically.” – Vlad Podoliako
“(on pricing) It's about how much tries you do before you succeed and how resilient you do that. All of these events, historically, we kind of have this in our blood, adaptability, resilience, and hard work.” – Vlad Podoliako
People/Resources Mentioned:
Belkins: https://belkins.io/ Folderly: https://folderly.com/ OpenAI: https://openai.com/ Sam Altman: https://en.wikipedia.org/wiki/Sam_Altman NVIDIA: https://www.nvidia.com/en-us/ Google: https://www.google.com/ LinkedIn: https://www.linkedin.com/Connect with Vlad Podoliako:
LinkedIn: https://www.linkedin.com/in/vladPodoliako/ Email: [email protected]Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on March 10, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/creating-pricing-power-that-lasts-a-guide-for-long-term-holdings/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Jared Smith is the CEO of PriceSmith, a consulting firm specializing in pricing strategies for distributors and light manufacturers. With a background in pricing systems from Vendavo and experience as an adjunct professor at Oklahoma State, Jared brings a wealth of knowledge to the table. He is passionate about helping companies optimize their pricing strategies to capture more value.
In this episode, Jared shares his journey from Frito-Lay to leading pricing innovation in the B2B distribution space. Together, they explore the key distinctions between B2B and B2C pricing models, especially the negotiation-heavy and data-rich nature of distribution.
Why you have to check out today’s podcast:
Learn about the differences between B2B and B2C pricing strategies. Understand the role of pricing systems in managing large SKU portfolios in distributorship. Discover how to effectively segment customers for better pricing strategies.“Invest in your master data and keep chipping away at it. Start with 80/20 of your products and get that right.”
– Jared Smith
Topics Covered:
01:42 - Jared shares how he got into pricing after his MBA and experiences at Frito-Lay and in B2B distribution.
02:57 - Discussion on the differences between B2C and B2B pricing, including transparency and data access.
06:06 - Challenges in understanding why customers buy and the limitations of data analytics.
12:55 - Jared explains his focus on distribution and the unique challenges it presents.
14:40 - Discussion on the relevance and limitations of cost-plus pricing in distribution.
19:17 - Exploration of how to implement good, better, best pricing in distribution.
25:28 - Discussion on whether distributors publish prices or rely on quotes for transactions.
26:33 - Jared shares insights from Uber experiences and how they relate to distribution pricing.
31:27 - The impact of customer loyalty on pricing strategies and potential risks.
32:55 - Jared's key piece of advice on investing in master data for better pricing strategies.
33:58 - Connect with Jared.
Key Takeaways:
“Distribution is an amazing thing. Obviously, it's worldwide. And the simple fact of it, it has two very unique aspects. The first one, a lot of SKUs. And then, the second one is that you have a lot of customers.” – Jared Smith
People/Resources Mentioned:
PriceSmith: https://www.pricesmith.com/ Vendavo: https://www.vendavo.com/ Oklahoma State University: https://www.okstate.edu/ Pepsi: https://www.pepsi.com/ Frito-Lay: https://www.fritolay.com/ Coca-Cola: https://www.coca-cola.com/ Apple: https://www.apple.com/ LG: https://www.lg.com/ Uber: https://www.uber.com/ Lyft: https://www.lyft.com/Connect with Jared Smith:
LinkedIn: https://www.linkedin.com/in/jaredpaulsmith/ Email: [email protected]Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on February 17, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/the-secret-to-using-ai-in-pricing-ask-expert-questions/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
James Wilton is the founder and managing partner of Monevate, a consulting firm focused on pricing strategies. With a background in consulting from McKinsey and A.T. Kearney, James has a wealth of experience in helping companies capture value through effective pricing. He recently published a book titled "Capturing Value," which delves into the strategic importance of pricing in business.
In this episode, James discusses the nuances of pricing and its critical role in understanding value within a company. He shares insights on how businesses can develop pricing strategies that align with their value propositions and enhance their overall success. James emphasizes the importance of aligning pricing strategies with corporate goals and understanding customer needs, particularly in the SaaS and B2B sectors.
Why you have to check out today’s podcast:
Learn about the relationship between pricing, value, and corporate strategy. Gain insights on the differences between B2B and B2C pricing strategies. Understand the evolving landscape of usage-based pricing and its implications.“Being a little bit more thoughtful of thinking about, what are those different levels of offering that I can give? What is the right price metric that really does help me scale across a few different segments? That can make a massive difference to how much value you're able to extract from your market.”
– James Wilton
Topics Covered:
01:22 – James’ journey into pricing and consulting.
03:35 – The strategic importance of pricing in business.
04:47 – Understanding value and its impact on pricing decisions.
06:24 – The role of pricing in SaaS and B2B companies.
08:12 – Pricing strategy and corporate valuation.
15:05 – James shares insights on pricing AI, arguing that the fundamental principles of pricing remain the same, despite the unique challenges AI presents.
17:08 – James discusses how Monevate is using AI to analyze qualitative research, improving efficiency in summarizing interview results.
20:36 – Exploration of usage-based pricing, with James explaining its advantages and the importance of aligning pricing metrics with the value delivered to customers.
27:32 – James offers key pricing advice for companies, stressing the importance of creating a differentiated pricing structure to maximize value extraction from the market.
28:45 – Connect with James
Key Takeaways:
"Capturing value is about understanding what pricing should do for your company, to capture a fair portion of the value that you create for your customers." - James Wilton
"With AI models these days, you're seeing token-type models that fundamentally focus on the amount of work the system is doing. This results in a cost-based metric rather than a value-based metric." - James Wilton
"Value really is getting some kind of utility from something in its basic way." - James Wilton
People/Resources Mentioned:
Monevate: https://www.monevate.com/ McKinsey: https://www.mckinsey.com/ Capturing Value: https://www.amazon.com/dp/B0DRDVPQJ9 A.T. Kearney: https://www.kearney.com/ RELX: https://www.relx.com/ Steven Forth: https://impactpricing.com/podcast/665-the-future-of-ai-monetization-trends-and-challenges-with-steven-forth/ PayPal: https://www.paypal.com/Connect with James Wilton:
LinkedIn: https://www.linkedin.com/in/jamesdwilton
Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] -
This is an Impact Pricing Blog published on February 10, 2025, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/the-psychology-of-price-increases-why-a-two-stage-approach-might-work/
If you have any feedback, definitely send it. You can reach us at [email protected].
Now, go make an impact.
Connect with Mark Stiving:
Email: [email protected] LinkedIn: https://www.linkedin.com/in/stiving/ -
Amit Godbole is the founder of ProdSquad, dedicated to simplifying e-commerce technology through improved product management practices. He serves as a fractional chief product officer at FCI CCM and coordinates regional product tank events with Mind the Product, a leading networking organization for product managers.
In this episode, Amit discusses the importance of pricing in product management and how it can significantly impact a company's success. He shares insights on how product managers can leverage pricing strategies to enhance value for customers and drive revenue. Amit emphasizes the need for product managers to take ownership of pricing decisions, especially in the SaaS industry, and highlights the value of understanding customer needs and market dynamics.
Why you have to check out today’s podcast:
Discover how product managers can influence pricing strategies to drive business success. Learn about the evolving role of pricing in product management and why it should be a core focus. Gain insights on how to articulate value in terms of revenue, cost reduction, and risk mitigation.“Discounting typically means you do not value your product, your services, as much as your client does. So, discount should not be part of the strategy.”
– Amit Godbole
Topics Covered:
01:55 – Amit’s unexpected journey into pricing
03:37 – The traditional view of product management and its evolution
04:55 – The importance of pricing in SaaS and B2B companies
05:54 – How product managers can experiment with pricing strategies
07:33 – The significance of understanding customer value and willingness to pay
09:30 – The role of pricing pages in B2B and B2C contexts
11:23 – Strategies for creating effective pricing pages that communicate value
12:34 – The impact of subscription models on pricing strategies
14:50 – The importance of honesty in pricing and customer communication
19:12 – Value-based to context driven pricing
24:19 – Amit’s best pricing advice for product managers
25:10 – Mark's advice to new pricing analyst
Key Takeaways:
“Pricing, revenue, and commercial aspects were the biggest levers somebody could pull in to get a product to the success they want.” – Amit Godbole
“Product management professionals must understand that value has to be tied to revenue, or a dollar value, because that's the real value you can create.” – Amit Godbole
“More companies need to be honest or need to help customers choose the right solution. If that's not right for them, don't upsell that.” – Amit Godbole
People/Resources Mentioned:
Mind The Product: https://www.mindtheproduct.com/ Figma: https://www.figma.com/ Zoom: https://zoom.us/Connect with Amit Godbole:
LinkedIn: https://www.linkedin.com/in/amitgodbole
Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected] - Laat meer zien
