Tag: pricing

Discussion of pricing models, when to use them and how to establish price points

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» Match your product’s units to how your customer measures value

» Changing your pricing model regularly needn’t be a bad thing — it just has to be done carefully

» With usage-based pricing, help your customers to anticipate their likely costs

» Care has to be taken to keep dynamic / surge pricing transparent

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» Celsys are going to start charging for software updates to their popular Clip Studio Paint product

» The way Celsys communicated this to their users caused outrage — some of which was justified

» Fog Creek found themselves trying to monetise their viral product Trello, which it had promised would be free forever

» Fog Creek had first mover advantage on an easily copied product, which it exploited by a timely sale to Atlassian

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We’re looking at the kinds of information that specific groups of people need to know during the lifecycle of your product and why they’re so interested in the first place.

Last time we covered the steps from idea through to convincing people to part with some cash to build it. Now we’re going to look at building it and onwards through launch to review.

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Does your sales team sell your products (like, in exchange for money), or does it give them away as generous sweeteners to guarantee the sale of something else that will hit their targets? Or to put it in another way, does your salesforce truly understand the value of your products and can it articulate the benefits to the customer?

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Ah, pricing. Always a thorny topic for product managers as it’s one those more subjective areas of the job. I’d love to have some kind of oracular spreadsheet that foresees how much customers would be willing to pay for my new product. Ironically, I would pay good money for such a thing…