Copyright art weinstein phd 2011 2 price and the value

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Unformatted text preview: as the value delivered! copyright Art Weinstein, Ph.D., 2011 2 Price and the Value Equation Price Cost Competition Value = Perceived benefits Perceived price Customer Demand Service, Quality & Image copyright Art Weinstein, Ph.D., 2011 3 6 Pricing Strategies Pricing $$ $ Price-driven costing Demand-based pricing Value-based pricing Price customization Psychological pricing Price differentiation copyright Art Weinstein, Ph.D., 2011 4 Market-Based Pricing Market-Based ☛ Price-driven costing estimating price customers are willing to pay and working backwards from this price specification (Apple) (Apple) ☛ Demand-based pricing estimate of volume that can Demand-based be sold at different prices based on market conditions and price sensitivity (Southwest) and (Southwest) ☛ Value-based pricing means that prices should be set to reflect and capture customer value (Ikea) (Ikea) copyright Ar...
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