Shows
Pricing College PodcastEpisode #0118 - Why Pricing Requires CEO And CSuite BackingWhy Pricing Requires CEO and Csuite Backing Aidan: In today’s episode, we want to dig a bit deeper into a topic we’ve covered a couple of times in previous episodes. And that it’s vital, it’s so important that a pricing transformation or a major pricing project has CEO, C-suite backing. And I suppose today we’re going to dig into that. We’re gonna do a bit of a question-and-answer format. Cause it works quite well. So we’ll be asking our resident pricing expert, Joanna, these questions. I supp...
2022-12-0220 min
2022-10-2819 min
2022-10-2111 min
Pricing College PodcastEpisode #0113 - Pricing advice for start-upsIn today’s episode, we want to explore the world of startups and I supposed at Taylor Wells we got asked or approach by quite a few startup businesses and the early stages of development with questions about pricing advice and pricing strategy and how start-ups should price. And I suppose we just really want to explore some of those ideas today and maybe just discuss some ideas. TIME-STAMPED NOTES: [00:00] Introduction [03:00] What’s our advice on issues regarding pricing for start-ups? [12:19] How can we advice start-ups in discovering value in pricing?
2022-10-1422 min
Pricing College PodcastEpisode #0112 - Can pricing save the cinema and movie theatre industry[00:00:00] Aidan: Hello and welcome to another edition of Pricing College with your host Aidan Campbell [00:00:06] Joanna: and Joanna Wells [00:00:07] Aidan: Often at Pricing College, we find new ways to show that we live in the past. And so today we are going to talk about cinemas, cinema pricing, and I predict somebody will say movies are not as good as they were in the old days. [00:00:21] So I'll let Joanna kick-off . [00:00:24] Joanna: I think we we're talking about cinema pricing, partly as response to that Bruce Springsteen, dynamic pricing scenario that occ...
2022-10-0724 min
Pricing College PodcastEpisode #0111 - What can business learn from gym pricing?In today’s episode, we are going to cover something that’s very close to our heart. If you just listen to our podcasts, you may think we are just pricing gurus, but we are also incredibly ripped. And so we’re going to cover, gym memberships and gym pricing. A subject that I think a lot of people, both consumers and businesses can learn from. So I think we’ll let Joanna kick-off. Yeah. But firstly, starting with that, Aidan apparently goes to the gym five times a week. Not so sure. Maybe. Uh, anyway, a...
2022-09-3022 min
Pricing College PodcastEpisode #0110 - What is a (CRO) chief revenue officer and what should they know about pricing ?#PricingPodcast #PricingCollege #ChiefRevenueOfficer In today's episode, we want to talk about probably a new addition to the C suite, which is called CRO which stands for Chief Revenue Officer. And this is probably a role that we're seeing more in SaaS companies, software as a service, more startups, more tech, probably more in America, I suppose. And it's someone whose focus is on all the revenue in the business, customers, profitability, revenue, selling, marketing, sales. It's a real catch all term. And I suppose we want to discuss today, is it really just a rebranding of an...
2022-09-2316 min
Pricing College PodcastEpisode #0109 - How to charge creative industries like graphic designingIn today's episode, we want to ask a question about some of the creative industries and the best way to charge for graphic design creativity, like designing logos. This is a question that somebody asked us recently, so we want to explore it today. We asked this question essentially, a question that a lot of people ask us how do we charge for a particular service or our products? Often the debate goes “ Oh, should we use a cost plus, especially for all time and materials billings, especially for professional services?" for things like design, log...
2022-09-1619 min
Pricing College PodcastEpisode #0108 - Should you charge more for beer at a stadium than a liquor store?In today's episode, we want to look at a news article that appeared today, 8 September 2022. I think it almost suggests that more people should listen to price in college because I suppose fundamentally it looks at some of the most very basic pricing thoughts or strategies that I think that anyone in business or even the media should know. So, I think I'll just give a brief intro to it. On a radio station, 2GB in Sydney, the presenter Jim Wilson grilled the pub entrepreneur Justin Haimes on the new Allianz stadiums beer prices and said that they're too...
2022-09-0915 min
Pricing College PodcastEpisode #0107 - Paying more to not see ads on streaming servicesIn today's episode, we want to cover I suppose it's a concept, but it's also a new story that we saw recently this week, whereby Disney plus up-and-coming young whippersnapper on the streaming market that's eating Netflix's. I suppose they haven't announced it, but they're suggesting that they will introduce two-tiered pricing whereby you pay less, maybe about $8 US a month, but you might have to watch advertisements, or you can pay more and avoid advertisements. And I suppose this is a little bit like I think it's called "Red" on YouTube, where you can subscribe, you pay a...
2022-09-0216 min
Pricing College PodcastEpisode #0106 - Dynamic pricing in ticket pricing for concertsIn today's episode, we want to talk about the pricing story that has made the news I guess, the mainstream news media, which is not that common in the world of pricing, and that is related to dynamic pricing for concert tickets. More specifically Bruce Springsteen tickets on a US national tour and the concept that pricing for those tickets has a dynamic element. Dynamic pricing has some controversy around it because people don't like that there is a range of prices and they don't like that the price is not fixed. People feel a la...
2022-08-2618 min
Pricing College PodcastEpisode #0105 - What we can learn from Rolex pricingToday we're going to speak about Rolex watches. Rolex watches are a key topic. I suppose in pricing because they really do show the opposite of cost-plus pricing. They don't use cost-plus pricing, very much value base. Because if they did use cost-plus pricing, they would actually make much less profit than they're making today. But what brought this topic to mind was a recent newspaper article on Rolex watches, in particular secondhand Rolex watches. The bubble for secondhand Rolex watches has collapsed. It got us thinking about the whole pricing methodology, branding, and marketing str...
2022-08-1916 min
Pricing College PodcastEpisode #0104 - Are Brands still valuable to consumers in 2022?In today’s episode, we want to talk about brands. Are brands still as important in 2022 as they were maybe back in the 20th century? Notes on the time-stamped show: [00:00] Introduction [02:05] Building a brand is associated with your value management system, and it is a continuous process. [04:28] How is your brand connected to your pricing, value management system, and customers? [08:34] Market preferences change. And you must be willing to adapt and make your brand always relevant. How? [15:13] Your brand should always be aligned with your customers...
2022-05-2016 min
Pricing College PodcastEpisode #0103 - The Concept of Building a Pricing EcosystemSo in today's episode, we want to talk about, the concept of building an ecosystem, thinking about how it can benefit your business, and if you can sell it that way. Notes on the time-stamped show: [00:00] Introduction [01:24] How pricing can be utilised to build new and stickier business models that customers find difficult to leave. [04:53] Business models, such as espresso and Apple, emphasising how they created an ecosystem wherein everything the customers need is offered, boosting profitability. [08:18] How different it is to build ecosystems in B2B settings, and ho...
2022-05-1316 min
Pricing College PodcastEpisode #0102 - Can a pricing IT tool fix B2B pricingIn today’s episode, we discussed what are the pitfalls of seeking a pricing tool to run B2B pricing. Notes on the time-stamped show: [00:00] Introduction [01:06] Joanna argues that without a great pricing framework and architecture, businesses cannot expect optimal outcomes from automation. [03:31] The field of pricing have two approaches to technology. The first is revenue management systems, and the second is optimisation systems. [07:13] What processes do you need to set up in order to make the most out of these tools? [12:03] Aodhan talk...
2022-04-2915 min
Pricing College PodcastEpisode #0101 - Is being made in Australia still seen as a value to consumers in manufactured productsIn today's episode, we want to do, I suppose a little bit of value discovery, which is a topic we discuss when we get into value-based pricing and what you can charge more for. What is the value-added to your business? Often you hear we are Australian owned, we are Australian based Australian owned and managed. And the question is, is being Australian owned, is being an Australian company of value. And of course, this can be different for whichever country you're listening to. What is being a domestic manufacturer or company is seen as a plus by your...
2022-04-2213 min
Pricing College PodcastEpisode #0100 - What moving from free to paying really means. Difference in freemium vs pay model
2022-04-1415 min
Pricing College PodcastEpisode #0099 - What to be aware of with surchargingThis is the last episode before the Easter school holidays in Australia. So, pricing college is not out for the summer. It's not out. We continue with our podcasts as we know how vitally important it is for you to get your pricing info. In today's episode, we want to cover the press recently, and anybody involved in B2B and B2C will be looking at surcharges, fuel surcharges, and different surcharges. Basically, covering and trying to protect people from the rampant inflation that we're seeing. Particularly petrol, fuel, electricity, all these aspects, with inflation hitting probably 7% to 10...
2022-04-0811 min
Pricing College PodcastEpisode #0098 - Why Value-Based Pricing is even more important when inflation is rampant? In today's episode, we are going to discuss the importance of value-based pricing during inflation. In today's episode, we are, I suppose, going to address the big elephant in the room, which is massive cost increases and massive inflation. On a scale, I think people thought we would never see it again. I read this morning that inflation is at a 30 year high. In some countries, it is somewhere between 6% and 12%. That was even before this entire Ukrainian War and petrol prices, fuel prices, and all that sort of stuff. So it is a...
2022-03-2515 min
Pricing College PodcastEpisode #0097 - SAAS Pricing and Tiered Pricing options for Online BusinessesIn today's episode, we're looking at SAAS pricing and tiered pricing - the good-better-best option. What is the impact of tiered pricing on market segmentation and consumer behaviour? In today's episode, we are surfing the web. We are joining the information superhighway. We're looking at, I suppose the very common method that pricing is shown on many software as a service, SaaS style businesses. I think we're all used to seeing them by now. Three options: When some on a month to month you're shown very often a cheap option; Which doe...
2022-03-1816 min
Pricing College PodcastEpisode #0096 - Introduction to Value CultureToday's episode will be probably a little bit different than usual, as we're going to discuss a new project here at Taylor wells, which we are launching. I suppose, to some extent we've already done a soft launch of it with particular customers. That is our project called Value culture. I let Joanna speak in a minute. But I think just a brief intro as to what it is. On our podcast over the last year or two, you probably hear us talking about lots of similar themes. Those themes are pricing settings between different departments. Pricing is a...
2022-03-1107 min
Pricing College PodcastEpisode #0095 - Can value based pricing go wrong?In many of our podcasts, we talk about value-based pricing. How it is the best thing since sliced bread and how everybody should be doing it, or moving towards it. But in today's podcast, we're going to answer a question we received and that is, can value-based pricing go wrong? So the simple answer here is yes, it can go wrong. I'll give you some context, some scenarios where I've seen it go very wrong. Often it's done in businesses that are very cost plus. They've got a history of cost-plus. The...
2022-03-0414 min
Pricing College PodcastEpisode #0094 - What white goods price inflation means in 2022If you are an avid listener to our regular appointments or regular podcast you may be wondering where we were over the last month or two. The answer is we were too busy with Taylor Wells to record a podcast. So I don't know how you coped without us and all our grid pricing information. So here we are back today. We are covering the typical question that is in the press relating to white goods. The pricing on white goods such as washing machines, fridges, that sort of thing is increasing apparently for the first time in almost...
2022-02-2512 min
Pricing College PodcastEpisode #0093 - B2B business moving to an equipment as a serviceIn today's episode, we are going to answer a listener's query which was about companies traditional B2B businesses switching from selling components or machinery to more of equipment as a service system whereby equipment machines etc, whatever it is, is provided on a monthly or weekly or whatever basis it is almost like a joined-up solution. Sounds interesting. It does sound interesting and at the same time, the movement from a pure sort of product to equipment as a service model has been very slow in B2B. In spite of the opportunities that s...
2021-12-1012 min
Pricing College PodcastEpisode #0092 - Dangers of surcharges and breaking down pricing too much.In today's episode, we want to cover. I suppose we just passed Black Friday last week and I believe Cyber Monday was Monday. I'm sure of my age but I was never aware of these concepts when I was younger but now in retail and especially online retail, they are extremely prominent. So today we want to look at the pros and cons, the good things and the bad things about adding surcharges and segmenting or compartmentalising the costs in services, so that when you go online to buy a product or service, you see the price and then...
2021-12-0312 min
Pricing College PodcastEpisode #0091 - What to say when procurement ask to see your cost baseIn today's episode, we want to talk about something that is probably more common than we'd like to admit. A scenario where a procurement team says show me your costs, I want to see your cost so we know that you're not charging too much. So what do you do? Do you show them the costs? or do you in some way fluff around the topic and try and avoid that for a couple of weeks? Maybe get yourselves, people, to meet with them a bit more to discuss the features and benefits of the o...
2021-11-2617 min
Pricing College PodcastEpisode #0090 - Will shoppers pay a bit more for a better retail experienceIn today's episode, Joanna and Aidan discuss retail therapy for the upcoming Christmas season and Black Friday. It’s that time of year where we approach Black Friday, and of course the Christmas shopping season. So in today's podcast, we want to take a bit of retail therapy and ask, Will people in a retail environment be prepared to pay a bit more? Not a huge amount more, but will they pay more for better service and other things? Well, I’m gonna answer that question right away and I would say that Aidan...
2021-11-1916 min
Pricing College PodcastEpisode #0089 - How inflation impacts price rise strategy in 2021In today’s episode, Joanna and Aidan discuss the return of inflation and how it impacts the price rise strategy in 2021. Inflation affects businesses and consumer purchasing power In today's episode, we want to cover something that has been in many news articles in one way or another and that is I suppose the return of inflation which was a monster we associated with maybe times like the 1970s in the 1980s but inflation appears to be back. A lot of the financial press is talking about it and from a pricing perspective it's leading ob...
2021-11-1214 min
Pricing College PodcastEpisode #0088 - Mercedes- Benz Fixed Pricing ModelIn this episode of Pricing College - Joana and Aiden talk about the Mercedes Benz fixed pricing model. What it is and how they’re going to execute this in the Australian Market? Hello and welcome to pricing college with your hosts Aidan Campbell and Joanna Wells. You may have noticed that this is our first podcast in quite a while and you might be asking, why? Fundamentally, the reason is that we were too busy, and we were caught up with work at Taylor Wells. And so now we are back on track and we...
2021-11-0813 min
Pricing College PodcastWe take a look at pricing and the murky world of cigarettesIn this episode of Pricing College - we take a look at the world of cigarettes and ask what the Marlboro man can tell us about marketing now he is basically banned. We look at the tax collection role cigarette companies now play. In today's episode, we're going to salute that time-honoured Aussie tradition of having a cigarette break. I think it's called a “Dury” or “Dora”? or maybe I'm exposing myself as not Aussie enough, but you know what we're talking about. We thought it'd be a good topic to d...
2021-03-1921 min
Pricing College PodcastWill subsidies boost demand for domestic tourism?In this episode of Pricing College - we discuss the new Aussie Federal Government plan to boost domestic tourism by subsidising flights by 50%. We discuss is price the major driver of tourism nowadays in a post Covid world - or is it the rationale expectation that your vacation will be ruined by State Governments locking down cities and closing borders willy nilly. We're recording this podcast a day after the Australian Federal Government announced a 50% subsidy for holiday flights to certain destinations throughout Australia. From a pricing perspective, we want to lo...
2021-03-1217 min
Pricing College PodcastWhat does a cashless society mean for pricing?In this episode of Pricing College - we discuss what impact a cashless society will have on pricing. Will it mean less focus on budgets and costs, will people spend more or less - and what businesses and industries stand to benefit. In today's episode, we want to discuss the movement to a cashless society. What that will mean for business, for consumers, for value and all things pricing related. There's definitely a trend for using less cash nowadays. People seem to prefer just paying tapping and going, using th...
2021-03-0517 min
Pricing College PodcastWhy do so many companies ignore value based pricing?In this episode of Pricing College - we discuss why so many companies do not practise or invest in value based pricing. We discuss that value based pricing is difficult but very rewarding - and explain that many companies are not developed enough to truly pursue this systematic approach. In today's episode, we want to ask the question, why do some businesses push back on value-based pricing? Or why are they not seemingly interested in value-based pricing? It seems strange that a lot of companies still today don't think or...
2021-02-2611 min
Pricing College PodcastThe future of the recorded music industryIn this episode of Pricing College - we look at the recorded music industry and the pricing model. We discuss Spotify and what a lack of live concerts is doing to revenues in the Covid restrictions era. What can bands and artists do? This episode is about recorded music. The business and pricing model in the recorded music industry. Interestingly, we've actually had a lot of problems with our zone this morning. So this is the second tick at this episode. We could do with professional music rec...
2021-02-1923 min
Pricing College PodcastCruise pricing strategy in 2021In the first episode of 2021 - we discuss cruise ship promotions in early 2021. Clearly given the continuing restrictions on everyday life in 2021 -whether you will ever sail on that cruise is doubtful - and if you do - will it be the way you remember? Aidan and Joanna discuss promotions, overbooking, revenue management and if people are just buying a bit of sunshine!
2021-02-0518 min
Pricing College PodcastWhat has pricing to do with house prices?In this episode of Pricing College we stray into an area we do not look at - asset pricing. House prices are one thing most people have a view on. We discuss how changing interest rates - really reflect lifetime cost of ownership and payment terms - and what value based pricing can tell us about it. If there's one thing people love discussing in this era, it is house prices, houses, more houses your house, my house, how many houses do you have? And hous...
2020-12-0509 min
Pricing College PodcastIs the one who pays the boss?In this episode of Pricing College - Aidan and Joanna discuss the common psychological scenario - where the seller says thank you - and sometimes in a B2B environment - the procurement team almost seek to grandstand over the seller. Does the seller view the customer as a boss? Is there a power dynamic at play here? What can we learn from a pricing perspective? TIME-STAMPED SHOW NOTES [00:00] Introduction [01:09] Joanna discusses the handover of power between the seller and the buyer when the deal is signed [03:24] Why shouldn't be b...
2020-12-0410 min
Pricing College PodcastCan Unbundling Go To Far?In this episode of Pricing College we ask has unbundling gone too far. We discuss the travel and hotel industry - and give the example of Ryanair. Unbundling can be a great strategy for segmentation - but sometimes we just want the full service! The more things change the more they stay the same is an old saying. So today we really want to look into it. Whether the recent trends in many areas of business particularly things like hotels, etc. Whereby it used to be a...
2020-12-0411 min
Pricing College PodcastWe discuss supermarket promotionsIn this episode of Pricing College - we discuss how supermarket promotions work - and what suppliers need to know. Is your brand benefitting or being impacted by a promotion from the supermarket? How do promotions impact volume and sales and of course profit? In today's episode, we want to talk about supermarkets. They are probably one of the most powerful actors and agents in the commercial environment. That a lot of companies, a lot of pricers will be dealing with on a regular basis. They are almost the epitome of t...
2020-11-2809 min
Pricing College PodcastDoes centralising pricing in another country make sense?In this episode of Pricing College we discuss whether it makes sense to centralise pricing functions for large companies. In recent years - we have seen multinationals seek to centralise pricing in certain cities - i.e. a centre of excellence - and have even see pricing for entire continents being centralised. This can have pros - and also lots of cons. In today's episode, we want to talk about probably a trend we've seen in recent months and years where larger corporations multinationals have a trend or...
2020-11-2713 min
Pricing College PodcastHow much do pricing professionals get paid?In this episode of Pricing College - we discuss how much pricing professionals from analysts to pricing directors get paid. Will it make you jealous, proud or whet your appetite for a promotion? It's a question that I'm often asked you know, How much should we spend on pricing analysts or a pricing manager? Often clients would consider pricing to be a lower salary than it is. So I often have to have the discussion that to get somebody good you've got to pay the money. Sometimes people are a little bi...
2020-11-2609 min
Pricing College PodcastWhat should you say about pricing to different stakeholders?In this Episode of Pricing College - we talk about talking! What should you say and how should you describe pricing when talking to various stakeholders like sales, marketing, finance etc - or even the CEO. The reality is that not everyone gets pricing the way you do - so you need to have a strategy to gain buy in. In today’s episode, we want to talk about discussing pricing with various stakeholders. Obviously, we discuss how dealing with stakeholders and bank engagement or getting engagement is so important than any...
2020-11-1908 min
Pricing College PodcastIntro to price optimisationIn this episode of pricing college - we discuss what pricing optimisation is and where to start. This is different to pricing strategy - and is a more numeric, data driven topic requiring specialist skill sets. We run through the basics In today's episode, we want to give a brief introduction to one of the more technical but useful pricing techniques which are pricing optimisation. So Joanna, what is pricing optimisation? I think in its most simple form price optimisation is a very anal...
2020-11-1908 min
Pricing College PodcastWhat the forex market can teach us about cost plus pricing?In this episode we discuss the forex market and how that really highlights common issues with cost plus pricing. The foreign exchange market - forex - changes millions of times a day, every day - and is a major cost input to lots of businesses. If a cost reduces - should you reduce the sell price? Go on guess! In today's episode, we want to give an example of why cost-plus pricing can create problems. This is relating to the world of foreign exchange or Forex. It hig...
2020-11-1807 min
Pricing College PodcastWhat makes a great CFO when it comes to pricing?Many CFOs love the numbers - and that often includes pricing. We have seen CFOs sign off on all pricing decisions in a business - but is that sustainable. Would a smart CFO run sales or marketing - usually not! We ask should a smart CFO run pricing? In the previous episode, we have spoken about what a CEO should know about pricing. In this episode, we're going to discuss, what a CFO, the Chief Financial Officer in the business should know about pricing? And to some extent, what they should n...
2020-11-1213 min
Pricing College PodcastWhat is the major issue with siloed business structures?We have seen it - and I am sure you have seen it. Businesses run on bizarre structures - based on States, regions or anything else. What could possibly go wrong - well to be honest, lots! When sales work regionally - and marketing and pricing work nationally - we predict lots of problems. In today's episode, we want to dig a bit deeper into what we discussed in the last episode about companies driven by operations. I suppose one of the real signals we often see when we look at a...
2020-11-1109 min
Pricing College PodcastWhat happens when Operations drive pricing?If you have ever seen Field Of Dreams with Kevin Costner - you will know the saying - build it and they will come. This often seems to be the approach of many companies - where they build a product and then simply expect sales and marketing to sell it as is. What could possibly go wrong? Lots. In today's episode, we want to discuss that very common type of business where how the businesses run is almost upside down or reverse. So rather than in the ep...
2020-11-1110 min
Pricing College PodcastWhat we really like about the Apple pricing modelApple is one of the biggest companies in the world. In this episode of Pricing college - we discuss what we really like about their pricing model. We cover value based pricing, the ecosystem and customer loyalty and also barriers to competition. In today's episode, we want to talk about aspects of the pricing strategy utilised by Apple that we like or think are noteworthy. Apple’s a great case example for pricing and product innovation. Customers love it. It's very successful. But yes, it has had its fa...
2020-11-0613 min
Pricing College PodcastAre there any good pricing courses in universities?In this episode of Pricing College - we discuss whether there are any good courses at schools, college or universities that really cover pricing strategy in a useful way. Many courses are as subsectors of marketing - but are there any courses we would recommend? In today’s episode, we want to discuss, Is there are Pricing courses at a university that we would recommend? Okay, I suppose to make it simple I would say no not really. They are lacking when it comes to strategic pricing and revenue mana...
2020-11-0407 min
Pricing College PodcastWhat is the pricing "eureka" moment?In this episode of Pricing College - Aidan and Joanna discuss what a lightbulb or eureka moment is in pricing. This is when you actually realise what pricing is and can be - and that it is so much more than cost plus in a spreadsheet. In today's podcast, we want to talk about the lightbulb moment. The light bulb moment is the minute when people realise all of a sudden seemingly, what pricing is? I’ll be honest there is a before and after when it comes to pricing. In the world of...
2020-11-0308 min
Pricing College PodcastYou need the right numbers for pricing!In this episode Aidan and Joanna discuss why business intelligence and good data management systems are vital for pricing. If you can not measure, analyse and slice and dice numbers - it will almost be impossible to perform worthwhile pricing work and optimisations. In today's episode, we want to talk about something that is often, I supposed overlooked and certainly at the beginning of a pricing project. But it is one of probably the more laborious tasks that you need to build in a corporation. Before you can start putting in pl...
2020-10-2910 min
Pricing College PodcastWhy charging by postcode or zip code can be a bad idea!In this episode of Pricing College we ask why charging customers more or less based on their location - i.e. postcode or zip code may seem like a good idea - but may create many more issues than benefits. In pricing - it is vital to not annoy or alienate customers or potential customers - and of course - no one wants to feel discriminated against. In today's episode, we want to talk about a pricing approach or concept that on initial inspection can seem a really good idea. But so...
2020-10-2809 min
Pricing College PodcastWhat approaches can we learn from SAAS?More and more services for business and consumers are delivered as SAAS - Software As A Service. What common tricks and approaches in pricing can we see from these companies? In today's episode, we want to cover one of the new more modern approaches to pricing that you'll see more and more. And that is the pricing approach used by SAAS companies or software as a service. You will commonly use their services in a B2B environment or many other scenarios. So in this episode, we wanted to cover five pricing techniques. S...
2020-10-2706 min
Pricing College PodcastHow much should a CEO know about pricing?As they say - a fish rots from the head down - and if a CEO is not on board with a pricing project it is doomed to failure. What should a CEO know about pricing - and we do not suggest they should get into the detail with pricing sheets! In today's episode we want to ask the question, What should a CEO know about pricing? I'll preface this by saying, obviously in a big company CEOs have one of the toughest jobs. One of the best-remunerated jobs but also on...
2020-10-2309 min
Pricing College PodcastCan you start optimising prices immediately?When it comes to pricing - we know that people want great results from day 1. However - what do you need to do first before trying to optimise prices. Should you optimise - before you fix issues and build a strategy? Often in life, people want to jump right into the deep end we cover this in a few previous episodes. But often people want to know, sometimes you can talk to a business. And they want you to start optimising prices immediately. And you say well, what sort of processes do...
2020-10-2209 min
Pricing College PodcastWhat should a marketer know about pricing?In this episode of Pricing College - we discuss what a marketer should know about pricing. Fundamentally, we believe they should be willing and able to work effectively with pricing. To be honest - this happens too infrequently. In many of our previous episodes, we have spoken about why pricing or good pricer need to work with other functions, whether finance, sales and very commonly marketing. So in today's episode, we want to discuss, what does a good marketer be? what do they need to know about pricing? As y...
2020-10-2108 min
Pricing College PodcastAre you really doing revenue management?Many companies in 2020 say they practise revenue management but do they really? We ask are many of them really doing traditional pricing management and strategy? In today's episode, we want to ask, do companies sometimes believe they're doing revenue management? When in actual fact, they're not really. They’re just pursuing pricing or contracting or tendering. There seems to be a movement occurring in the pricing community. Whereby if you say you're in revenue management as opposed to pricing. This is somehow a more glamorous more scientific approach to opti...
2020-10-1507 min
Pricing College PodcastCan an airline really sell a ticket for $1?In this episode of Pricing College - we continue to look at revenue management. You may have heard that airlines can sometimes sell tickets at very low prices - and that it makes sense. We look into this practise here. In today's episode, we want to dig into a very common question about revenue management is the classic idea is, can you really sell the last seat on an aeroplane for $1 and be profitable? This is the concept where you come running up to the flights about to leave the gear. Y...
2020-10-1308 min
Pricing College PodcastDo you need complex IT systems for revenue management?In this episode of pricing college - we take a look at revenue management and ask if your business really requires a complex IT system to implement revenue management. Many companies are not at the pricing maturity to fully take advantage of a system of this nature. In today's episode we want to ask, do you need to use complex computer programs and systems in a revenue management department? The question here arises because more and more we're seeing programs. A multimillion-dollar system used to just be used in airlines, hotels, et...
2020-10-1209 min
Pricing College PodcastHow many people really work in pricing?We know that our listeners are interested in pricing, revenue management and boosting profits - but how many people really work as dedicated pricing professionals in Australia. The answer is not very many at all. Aidan and Joanna try to estimate the actual number. In the last few months, we've all been experiencing quite a lot of change with COVID, the whole crisis and the government's response to it. One of those has been the serious economic challenges that we're all dealing with many people now have lost their jobs. A l...
2020-10-0114 min
Pricing College PodcastOscar Wilde in the pricing department!In Lady Windemere’s Fan, Oscar Wilde had Lord Darlington quip that a cynic was ‘a man who knows the price of everything and the value of nothing.‘ As with so much of what Wilde wrote or said, it’s more than just a nice turn of phrase – it hits at the heart of the problems of society. Lady Windemere’s Fan was written in 1892, but what Wilde wrote is even more true now than it was 122 years ago. We discuss what it means in pricing - and is it overused and cliched - or does it offer anything value.
2020-09-2910 min
Pricing College PodcastWhy we do not talk about bubbles on Pricing CollegeIn this episode of Pricing College - we discuss what a bubble is and why we do not really discuss speculation, investment or pricing options or financial instruments. Often what is described as a bubble is not a bubble - but rational demand driven prices for a hot item or service. Today we're gonna talk about a slightly different economic topic on like bubbles. But bubbles in housing, bubbles in IT, all those sorts of things. And we're gonna just talk a little bit about kind of why they're not talked about in pricing. Sometimes they are in certain industries a...
2020-09-2909 min
Pricing College PodcastCan "own brands" - destroy your real brand?In this episode of Pricing College - we cover the trend for many manufacturers of food products to produce very similar unlabelled or supermarket own brands. We discuss how this can be a problem for your business in the longer term. In today's episode, we are going to look at “own brands”. And how own brand in the world of food fast-moving consumer goods, those sort of items. How can damage the actual brand? Thinking about how it all started with its own brands. It came about through a sort of privat...
2020-09-2414 min
Pricing College PodcastCan too many brands damage your business?When companies buy lots of brands - they sometimes have real issues integrating them and differentiating their offers. This can create real pricing issues - by dragging pricing down to the lowest rung. We discuss this issue today. In this podcast, we want to follow up on our last episode about segmentation and branding. And ask the question, what problems can arise when a company has too many brands or too many legacy brands? We were talking before about how businesses now through disruption, through market competition, aggressive pricing an...
2020-09-2310 min
Pricing College PodcastHow brands can help with pricing segmentationIn today's episode of Pricing College - we discuss how brands can help a business segment their customer base by value drivers and ability to pay. We look at brands in the hotel industry and also in the car industry. In today's episode, we want to cover how different brands can help you segment your market. Have you ever thought maybe that you've got some brands that I'm thinking now of like hotel brands? And how they can help position a business in the market. But they also can help position y...
2020-09-2308 min
Pricing College PodcastWould you pay more for fewer movies to watch?In this podcast episode of Pricing College - we ask would you actually pay more for fewer movie options on your streaming service - or would even paying a nominal fee let you enjoy the movie more? We've been talking a lot about movies, the movie industry. The differences in pricing between Netflix and potentially Foxtel and also cinemas. We're thinking greatly about how pricing now determines a lot about the way we consume movies. Netflix is a great example of our new habits as movie watchers. It offers us infinite variety at a low p...
2020-09-1711 min
Pricing College PodcastWhat is the pricing strategy of NetflixIn this episode - we discuss whether the business model and pricing strategy of Netflix will let it prosper in the long term. We look at the penetration pricing strategy currently in use - and ask if it is best for the long haul? So we were talking a bit before about the cinema and movie industry. And it sort of made us think about the prevalent, the dominant player in the market now Netflix. The value offers to the consumers and we're thinking, What value does it offer? Is it sustainable? Will it be...
2020-09-1511 min
Pricing College PodcastWhat movies can teach us about willingness to pay!In this episode of Pricing College - we discuss how Hollywood studios used to discriminate based on willingness to pay and use different distributions methods such as cinema release, video stores, pay tv and finally free to air tv. This has of course changed due to technology - but is the new system any better? In today's episode, we want to talk about movies. I think everyone's probably sick of staying at home and watching movies over the last six months. But it's made us think about the changing business model. And potentially the pricing...
2020-09-1511 min
Pricing College PodcastYou ever meet someone who just has to have a discount?In this episode of Pricing College - we talk about what to do when someone just has to have a discount. We love not discounting - but sometimes you have to recognise that their are dedicates hagglers out there - the type who enjoys getting 1% off on shopping at the local market. You know the type! In today's episode we want to cover, what do you do when you're selling to somebody, a person who just insists on getting a discount? Who will not sign on the dotted line if they a...
2020-09-1010 min
Pricing College PodcastAre there better numbers than 99c?In this episode of Pricing College - we ask are there new magic numbers out there and if so - what are they? Are people so used to 99c that it has stopped working? Is 37 the new 99? So many questions! In today's episode, we want to ask, is the price of 99 cents and magic pricing is that all hot? Has it expired? Has as it passed? Has it been used by date? Is the world of pricing when you're doing a pricing optimisation, does it simply mean adding 99 cents down the l...
2020-09-0808 min
Pricing College PodcastWhy do people use 99c and magic number pricing?In this episode of Pricing College - we look at the concept of magic numbers and using 99c and even options like 95c or 90c. Does it really help you sell more than quoting full dollar pricing. Is the market moving beyond this type of pricing nowadays? In today's episode, we're going to cover that most fundamental or maybe most famous pricing technique or strategy. The magic number such as 99 cents 90 cents or something like that. For pricers out there this is an important topic for everyone, not just c...
2020-09-0709 min
Pricing College PodcastWhat does Coke branding aim to achieve?In this episode of Pricing College we look at the importance of branding for retail products - and we look at Coca Cola. Everyone in the world knows Coca Cola and sees it everywhere we go. Does the huge spend on branding produce a customer view on the brand as a premium product? We argue that the branding positions it strongly as a middle and mass market product. As we say in the world of podcasting and busses you wait for one bus on three come at once. So today we're do...
2020-09-0311 min
Pricing College PodcastWhy Coke kept flat pricing for 75 years!In this episode of Pricing College - we discuss why Coca Cola did not increase their pricing for almost 75 years. This goes against the common perception of Coke as a business with great pricing power - that can command higher prices. We dig into the reasons behind this surprising fact. In the last podcast, we discussed an interesting case study with Coke and we just wanted to extend that a case study with Coca Cola. Because it's a company that when you think about, it's a huge global brand, it's got a...
2020-09-0109 min
Pricing College PodcastPaying more for soft drinks in hot weatherIn this episode of Pricing College - we discuss the suggestion that Coca Cola considered altering prices depending on the temperature. We discuss whether this approach would work for a business and what things should be considered. We also ask would there be negatives to business reputation. Today we're gonna talk about quite an unusual case study involving Coca Cola. And apparent allegations of Coca Cola increasing prices when the weather gets hot. So at the moment today in Sydney is the first day of spring 2020. We're very thankful t...
2020-09-0107 min
Pricing College PodcastWhy planning a pricing role is vital!In this episode of Pricing College - we discuss why it is so vital to really plan out a pricing role before starting the hiring process. Being honest - so many pricing hires fail to deliver on their promise - and this can usually be prevented by scoping and planning in advance. In today's episode, we want to cover a topic that sometimes people don't consider before making their first pricing hire. That often is when a company employs the first person in a pricing department or kick off the pricing pr...
2020-08-2712 min
Pricing College PodcastProblems with a pricing team of One!In this episode of Pricing College - we discuss the potential problems when you only have one person in a pricing team. One person may be able to do it all for a short space of time - or in a small business but overtime problems will arise. Number crunching and strategy are different skills - and people can get burned out doing too many tasks. In today's episode, we want to play a thought experiment. You've just made the decision as a company to employ your fir...
2020-08-2412 min
Pricing College PodcastHow many pricing analysts do you really need?In this episode of Pricing College - we ask how many pricing analysts your business really needs. When launching a pricing transformation or improvement project - obviously, many businesses seek to keep costs low at the beginning - but if you under resource a team - that can have real issues also. Today we're going to be talking about what is the ideal size for a pricing team. We get asked this question a lot, especially when companies are building their new pricing function. It’s a new team, and they're tryi...
2020-08-2407 min
Pricing College PodcastCan your business say no to tenders?In this episode of Pricing College - we ask a big question. Can you business simply say no to tenders? Do you have to take part in tenders - or can you simply say no? Does your business really want to take part in tenders as the normal option - or is there another way? We've been talking in the past few episodes about tenders. And generally speaking, I think you can get the picture here that tenders, can be quite a negative and painful process. So we did touch on t...
2020-08-2012 min
Pricing College PodcastYour tender team should try to avoid tendersIn this episode of Pricing College - Aidan and Joanna discuss why you should seek to avoid tenders whenever possible. Your key account team and sales team should focus on preventing existing clients on going to tender - and work with potential clients to discuss value in a more productive manner than tenders. In the last episode, it's been pointed out to me that I sound very negative. So in this episode that regarding tenders and why I dislike them will say. And so in this episode is like, you dislike something, what a...
2020-08-1812 min
Pricing College PodcastWhy tenders destroy value - and your will to live!In this episode of Pricing College Aidan and Joanna talk about tenders - and why they often destroy value, and any interest you may have in working with a company. Tenders have lots of clear flaws - and whether they get the best price or the best supplier is far from certain. What's the number one thing that you love about pricing, perhaps that you don't like so much about pricing? When I asked this question people generally tell me the negative, and B2B, guess what it is? Tender pricing. People hate g...
2020-08-1711 min
Pricing College PodcastIs competitor based pricing sensible?It of courses seems to make sense - that you should check on what your competitors are charging - and base your pricing somehow on that metric. However - can there be drawbacks in this approach and if so what may they be? Just because someone is a competitor - does it mean you should charge the same. Should a convenient late night corner store - price match against an out of town hyper market? Today, I want to talk about a different form of pricing. We talked about value pricing b...
2020-08-1312 min
Pricing College PodcastWould you pay more for less of a product?We are always used to thinking that the more you pay the more you get of a product or service. However - have you ever been in a supermarket and found that a 660 ml bottle of cola costs more than a 2 litre bottle - why could that be? We discuss pack sizes and value based pricing - and what may be driving this seeming error. Okay so we've talked before about how products are actually getting smaller and yet the price is roughly the same if not increasing for a smaller product, that's...
2020-08-1112 min
Pricing College PodcastWhy your food package is getting smaller!In today's episode we look at the practise by food product companies to reduce pack size - sometimes without the customer noticing - rather than increase the price. Have you noticed that some items - like cereals etc or the number of bags of chips in a multipack is getting smaller or fewer? What would you say if your pint of milk (or beer!) gets slightly smaller every year - but the price tag stays the same? This is called shrinkflation Have you ever thought about pack sizes getting s...
2020-08-1009 min
Pricing College PodcastHow do pricing software tools work for business?In this episode of Pricing College - we discuss how pricing software tools work for a business - and what they actually do. They can be very useful tools with huge forecasting and calculation ability when they are correctly configured. Obviously - the devil is in the detail as they say - and these tools generally are not the immediate answer to all pricing queries. Today we're going to talk about pricing systems and what they do. The reason I suppose we're going to talk about that is that a lot o...
2020-08-0610 min
Pricing College PodcastDo price match guarantees increase or decrease selling prices?In this episode of Pricing College - we discuss the concept of price match guarantees. On first inspection - you would think a price match guarantee will reduce prices - as you match a competitors price. In reality - there is evidence that they have the opposite effect - as the stop people shopping around due to a false sense of confidence. It can also be a useful segmentation strategy. Today we're going to talk about whether price match guarantees decrease prices. Now, we're talking about that because in A...
2020-08-0408 min
Pricing College PodcastWhat is a loss leader?In this episode of Pricing College we discuss the concept of a loss leader. You may be aware of supermarkets and similar businesses selling very common or staple items at very low - or even loss making prices. We discuss the rationale or this and what they may be hoping to achieve. We also ask whether it is something that non retail businesses can use. So today we're gonna talk about a concept that everybody knows and it's called a loss leader. So we're going to be talking about, W...
2020-08-0307 min
Pricing College PodcastWhat are the options for a business pricing transformation?In today's episode of Pricing College - we discuss the broad options available to a company who is considering a pricing transformation for their business. The broad options available to any company generally include: A - engage pricing consultants to advise your business B - employ a proven pricing manager to implement change internally C - utilise a pricing software system And the winner is......... Today we're going to talk about options for you if you're going through a price improvement project or you're thinking a...
2020-07-2804 min
Pricing College PodcastThe biggest frustrations in the pricing community!In this episode of Pricing College we discuss some of the biggest frustrations in the pricing community. Whether it is people expecting far too much too soon, or people simply not listening at all to advice - we discuss some of the annoying parts of the job. In today's episode, we want to talk about those frustrating things about being a Pricer or Pricing Manager and the things that annoy you. I suppose is a bit of catharsis, is that the correct pronunciation for all of us or something that will be cathartic, b...
2020-07-2707 min
Pricing College PodcastThe skills for a great pricing manager!In this episode of Pricing College Joanna and Aidan discuss what sort of skillset a great pricing manager or leader should have. Whilst not saying one needs to have all the skills mentioned - pricing is a very varied discipline. Numerate, driven, smart, good team worker - the list goes on! Now if you're thinking about a career in pricing and you're wondering what type of people go into pricing, Am I suitable? Would it be a good fit for me? We're going to just go through all of those and ad...
2020-07-2305 min
Pricing College PodcastCan pricing save a bad business model?In this episode of Pricing College - Aidan and Joanna discuss whether a pricing guru and a great pricing strategy can rescue a bad or outdated business model. We discuss the examples of Blockbuster Video, Virgin Megastores and music retailer HMV. We state that pricing generally can not rescue a bad business model - but can help a value based business pivot early enough to survive and prosper. Today's topic was suggested to me by something I was doing during the lockdown, we were watching a bit of Netflix, with the kids. I...
2020-07-2311 min
Pricing College PodcastWhat is price elasticity?In this episode of Pricing College - we go back to University for Economics 101. If you increase prices - how much will volume fall? Is that something we should know or care about? Is there anything we can do to influence elasticity - or is it a given? Why does the Tax man care about elasticity - or in-elasticity? Today we're going to talk about a very popular concept in pricing called price elasticity. Now price elasticity has an important role in pricing because it's a measurement, which tracks consumer demand o...
2020-07-2108 min
Pricing College PodcastWhat is loss aversion in pricing?In this episode - we look at the concept of loss aversion. It is an old saying in gambling - that money lost hurts twice as much as the pleasure of money won! This same concept should apply in your sales meetings and sales discussions. If your product is more reliable and less risky than alternatives - then you should definitely be discussing that - and maybe charging more for it? Today we're going to talk about loss aversion and the role of loss aversion in pricing. Now, loss aversion is an important...
2020-07-2106 min
Pricing College PodcastCan a consumer products business go direct?In this episode - we look at whether a smaller consumer products business can say no to major supermarkets and retail chains and go direct. A move like this is a complete business shift and means you need to invest in distribution and shops. However - the upsides can be huge - and profits can follow! Okay so today I'd like to talk about a business model that I respect for many reasons and it's called Haigh’s chocolate, it is a competitor to Lindt and everyone knows Lindt may have heard of Ha...
2020-07-1713 min
Pricing College PodcastWhat can we learn from restaurant menu pricing?In this episode of Pricing College we celebrate getting back to restaurants and what tricks of the trade you can notice in restaurant menus. Whether it is priced at $4.99 or just 5 without a dollar sign - the menu may be trying to manipulate you. At least you have a defence now for eating too much at lunch! Today we're going to talk about tips and tricks about menu pricing. Now when you go into a restaurant or when you look at a menu often you don't realise as a customer that there are...
2020-07-1510 min
Pricing College PodcastWhat is good better best pricing?In this episode of Pricing College - we discuss the segmentation strategy known as good, better, best. It is a simplified strategy that helps companies begin a sensible customer segmentation strategy. We discuss products and services such as whiskey and SAAS providers. Today we're going to talk about a price segmentation concept called good, better, best. The reason we're going to talk about that today is that often people use fixed pricing, one fixed price for their customers, and because of that they have to discount and sometimes you don't have to discount...
2020-07-1409 min
Pricing College PodcastWhy do some startups not worry about big losses?In this episode of Pricing College - Joanna asks whether making a loss is a viable pricing strategy for any business - and of course startups. Many famous startups from Uber to Amazon have made losses for many years in a row. We look at the Australian business Canva - and ask if the pricing strategy makes sense. Is loss making an extreme form of penetration pricing or is something else at play? So many of the world's most valuable startups have never been profitable. So today, we're going to talk...
2020-07-1009 min
Pricing College PodcastHow should you incentivise a sales team?In this episode of Pricing College - Aidan and Joanna discuss common ways to incentivise a sales team and why this can create issues if not not in a strategic way. Is your sales team incentivised to sell volume - or with pricing targets or metrics. Does your sales team understand and articulate value? What can go wrong with a shoddy incentivisation plan? Today we're going to talk about sales, incentives, and plans. I suppose the reason why we're going to talk about that is there's a bit of a debate about whether...
2020-07-0809 min
Pricing College PodcastWe discuss Total Cost Of Ownership!In this episode of Pricing College - Joanna and Aidan discuss the concept of Total Cost Of Ownership. We all know that Duracell batteries claim to last longer than other batteries - if it lasts longer - could it be cheaper in the long term versus buying cheaper options more frequently? We look at this concept in the world of procurement, value based selling and sectors such as cars etc. Have you ever been in a sales call with procurement and thought, Gosh, I want to get out of this price unit price...
2020-07-0609 min
Pricing College PodcastCan you sell more of a product by increasing the price?In this episode of Pricing College - Joanna asks a question that every CFO wants to know - can you increase sales by increasing prices? Aidan discusses the concept of a Giffen good in economics and whether anything similar occurs in the 21st century. Ask yourself - have you ever assumed a product must be better just because it costs more? We look at the examples of toothpaste and a nice bottle of red wine! Today, we'll be asking the question. Will people buy more of a product that costs a lot more?
2020-07-0313 min
Pricing College Podcast5 Value drivers to consider when sellingIn this episode of Pricing College - Joanna and Aidan talk about 5 things to consider when selling anything - and take the example of a TV set. TV watching is still a common pass time - even if it is now more Netflix than broadcast channels. However, when selling any item - what are common value drivers that should be considered. The TV set has technical criteria that customers want - but we explore other value drivers that may be less obvious. Today we're going to talk about value, what 5 things should you c...
2020-07-0108 min