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Smarter Pricing: How to capture more value in your market
book

Smarter Pricing: How to capture more value in your market

by Tony Cram
January 2005
Intermediate to advanced
232 pages
5h 35m
English
Pearson Education Canada
Content preview from Smarter Pricing: How to capture more value in your market

Price structure gets golfers out on the links

Price structures can impact on usage. For example, John Gourville and Dilip Soman (2002) identified that annual membership payments result in club members using facilities heavily initially but declining subsequently. He found that quarterly payments stimulate spikes in demand every three months as members are reminded by their bank statements to get value by using the facilities. Therefore, price structures can be used to stimulate usage, and payment structures can be timed to even out demand across the year or meet other business objectives.

Action: Think how price structures can support desirable customer behaviour.

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Publisher Resources

ISBN: 9780273706137Purchase book