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The Strategy and Tactics of Pricing: A Guide to Growing More Profitably
For undergraduate introduction to Market Pricing courses. A comprehensive and practical, step-by-step guide to pricing analysis and strategy development. The Strategy and Tactics of Pricing shows readers how to manage markets strategically—rather than simply calculate pricing based on product and profit—in order to improve their competitiveness and the profitability of their offers. The fifth edition contains a new chapter on price implementation and several updated examples on pricing challenges in today’s markets. NEW! Show students how proper pricing can increase profitability—New Chapter on Price Implementation. A completely new chapter on implementing pricing strategy identifies the challenges involved in embedding strategic pricing principles within an organization. This chapter also describes how managers can lead a structured change process to build a more profitable commercial organization. NEW! Offer access to pricing software—Three-Month Trial of LeveragePoint Software. This edition is now available with software for creating and communicating economic value estimations systematically—from LeveragePoint Innovations Inc. While versions of this software that enable sharing require corporate contracts for access, versions for individual student and practitioner use are available without charge for three months with the purchase of The Strategy and Tactics of Pricing . NEW! Make pricing theory relative—Updated Examples of Pricing. Helping connect pricing theory to what students are familiar with, this edition includes updated examples with more topical illustrations of current pricing challenges such
• iPhone pricing
• New models for pricing music
• Services pricing NEW! Present the latest information—Heavily Revised Chapters.
The revised chapter on Pricing Policy provides a theoretically-grounded framework to describe specific policies for managing price changes for situations such
-Cost-based price increases
-Price reductions in a recession
-Discounts
The chapter on Value Creation now addresses the difference between how to consider value when it is driven by tangible monetary drivers (saving money on gas) versus the more subjective psychological drivers (doing the right thing for the environment).
The chapter on Value and Price Communication has been substantially revised to describe how to communicate value in a wide variety of product and customer contexts. This chapter also demonstrates how to target communications to affect specific behaviors throughout the customer’s buying process.
The chapter on Price Setting has been expanded to provide a robust process for setting prices that can be widely applied to consumer and business markets.
• iPhone pricing
• New models for pricing music
• Services pricing NEW! Present the latest information—Heavily Revised Chapters.
The revised chapter on Pricing Policy provides a theoretically-grounded framework to describe specific policies for managing price changes for situations such
-Cost-based price increases
-Price reductions in a recession
-Discounts
The chapter on Value Creation now addresses the difference between how to consider value when it is driven by tangible monetary drivers (saving money on gas) versus the more subjective psychological drivers (doing the right thing for the environment).
The chapter on Value and Price Communication has been substantially revised to describe how to communicate value in a wide variety of product and customer contexts. This chapter also demonstrates how to target communications to affect specific behaviors throughout the customer’s buying process.
The chapter on Price Setting has been expanded to provide a robust process for setting prices that can be widely applied to consumer and business markets.
368 pages, Paperback
First published October 1, 1986
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Displaying 1 - 22 of 22 reviews
April 3, 2008
[This is my what I do for a living] OK, it's only of interest to marketing geeks, but it's a bible for good pricing. The fourth edition eliminates some errors (and co-authors who no longer work with the author) that troubled the third edition.
March 18, 2019
Value based pricing is the perceived value by customers but doesn't take into account context. Use economic value as a starting point then layer in competitive differentiation. Create a range of prices according to market segments.
December 8, 2019
A good text book on pricing in its strategic and tactical perspective. Decided to read it in order to shore-up my Pricing knowledge and it was of great utility. I do recommend its reading for someone that wants to know more about pricing, to the professionals already working to provide a sound framework to their day-to-day activities and allow better decisions that have implicit a tremendous value to the overall organizations they work for.
It provides pricing theory as deemed needed (and if you want to explore more you have a plethora of references you can explore), but it's practical text book that applies the theory presented to actual cases and guides you through such important strategic process. Even in the field on how to determine the pricing level (value, pricing elasticities, etc...) always have a pragmatic and practical approach that one can use immediately.
Pricing is presented where the push comes to shove. i.e. when every company captures the value it has previously created and you can see a lot of value be siphoned away due to bad practices.
From all the applicable concepts presented, i would like to highlight the following:
- The Value Cascade - great representation on how to manage value and then pricing. An how you spill value in each caption
- How to define the best value to your customer;
- How to estimate the economic value estimation (economic vs. psychological);
- How to create break-even sales curves vs. pure elasticities (difficult to estimate in real markets)
- Ethics and law - also a good chapter that push-back some preconceived ideas and limitations,
Do recommend its reading and have it readily available for every pricing professional.
It provides pricing theory as deemed needed (and if you want to explore more you have a plethora of references you can explore), but it's practical text book that applies the theory presented to actual cases and guides you through such important strategic process. Even in the field on how to determine the pricing level (value, pricing elasticities, etc...) always have a pragmatic and practical approach that one can use immediately.
Pricing is presented where the push comes to shove. i.e. when every company captures the value it has previously created and you can see a lot of value be siphoned away due to bad practices.
From all the applicable concepts presented, i would like to highlight the following:
- The Value Cascade - great representation on how to manage value and then pricing. An how you spill value in each caption
- How to define the best value to your customer;
- How to estimate the economic value estimation (economic vs. psychological);
- How to create break-even sales curves vs. pure elasticities (difficult to estimate in real markets)
- Ethics and law - also a good chapter that push-back some preconceived ideas and limitations,
Do recommend its reading and have it readily available for every pricing professional.
March 18, 2013
Ugh, this book was a struggle to get through. One of my pet peeves is when a book refers to content in future chapters, and this book does that in abundance. It probably could have been 50pages shorter if not for all the references to forthcoming topics! The authors put out some good information, and if the reader is careful, he or she can glean the necessities of what is being said. However, there are so many subtle disclaimers that the authors hardly ever seem to take a solid stance on anything. With enough disclaimers, one can spout all sorts of half-baked ideas and strategies and never be proved wrong, a fine art, indeed.
When your boss gives you a book to read, you read it. So, I did. If you have a position with enormous amounts of flexibility in your pricing structure, then maybe this book would be good for you, if only for the copious amount of examples.
When your boss gives you a book to read, you read it. So, I did. If you have a position with enormous amounts of flexibility in your pricing structure, then maybe this book would be good for you, if only for the copious amount of examples.
February 17, 2010
Pricing textbook
July 10, 2014
It was easy to read and to the point. The only problem that I had was that some of the concepts were a little difficult to apply to small business. Overall a solid book on pricing.
December 24, 2018
The book discusses the various aspects of pricing and different ways to calculate whether certain price change makes sense. It has some useful nuggets about how prices are set and some insights into different tactics that can be used. Overall found it fairly lengthy and that the content can be condensed.
December 28, 2019
Long winded but fairly exhaustive review of pricing strategy. Hiwever still feels out of date and unstructured. I would venture to say this is a marketing book, where most of the content is hypothesis rather than measure.
June 30, 2021
Foundational instalment of the pricing methodology.
Complete with appropriate models to utilize and the fences.
Among the 4Ps, price is like the harvest as the others create value...that speaks to the price.
A good read.
Complete with appropriate models to utilize and the fences.
Among the 4Ps, price is like the harvest as the others create value...that speaks to the price.
A good read.
May 26, 2017
Best book in pricing.
July 8, 2017
Very Useful !!!
September 27, 2020
Substantive content about the theories and practices of pricing
June 14, 2022
I was expecting more practical topics as the book sometimes gets very theoretical but in general terms it has good information.
March 23, 2024
Well written justifications of claims made within the book. Coming from a theoretical economics background, it deepened my understanding of more practical approaches to pricing.
Read
July 26, 2011Incredibly long-winded, but covers the full gambit. I hated it personally, but it was a necessary book for indepth consideration of pricing strategy.
March 2, 2013
Simply the best business book that I have ever read.
March 30, 2013
A must-read book on licensing and pricing for the knowledge worker, manager, executive, or entrepreneur.
November 6, 2015
A must read for anyone that works with pricing as any level of manager will be left with new theories to apply.
October 2, 2016
THE book on pricing. Nothing else compares to this. Throw everything else in the bin (or recycle). Bravo, Thomas!
December 14, 2008
Easier said than done. Good ideas anyway.
July 8, 2016
Money, money, so disgusting
Read
February 12, 2018I'm a fan of value-based pricing so picked this up as a refresher. It's a pretty good primer on the subject but much of the material is more relevant to those working at older companies with lots of historical pricing data and customers to experiment with. That said, the first half of the book is still good for founders who are clueless on pricing and need a quick introduction to the matter.
Displaying 1 - 22 of 22 reviews