Product Pricing
The price of your product plays important roles both externally and internally to your business. In the marketplace, your product price creates a perception about your offering and its value. Internally, the product price relates to volumes and costs in determining the product’s contribution to your business.
Product Pricing Defined
Product pricing is the craft of setting list and discount prices for your product. Because pricing stands at the intersection of your internal business and your external market, many factors must be considered in setting a price so that you achieve your business goals.
Applied Product Marketing LLC takes a multifaceted approach to product pricing. Rather than using only one method to arrive at product prices, we apply a number of different techniques.
- We take into consideration the cost dynamics related to your product.
- We add to these the qualitative value of your offering compared to the competition.
- We study the price sensitivity of your target customer.
- We overlay your business goals and your business abilities.
- Finally, we create a financial model that estimates the effect of your business assumptions and the recommended pricing.
Learn more about the services we offer for product pricing:
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