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Pricing Design

Pricing across maturity models

Pricing across maturity models

Maturity models are a powerful way to organize progression through towards excellence in a discipline. One of the earliest maturity models was the Capability Maturity Model (now the CMMI for Capability Maturity Model Integration). In recent years’ maturity models have become a useful way to organize upsell strategies and to frame pricing models and pricing strategy.

Pricing your solution portfolio: Part 2 - Setting Goals

Pricing your solution portfolio: Part 2 - Setting Goals

Part 2 in a four part series on pricing a solution portfolio (one of the toughest challenges in pricing). Here the focus is on goals. How does one set the goals for different parts of the portfolio and how do these contribute to the overall goal?

Are you pricing the experience or the outcome?

Are you pricing the experience or the outcome?

There is a tension in service design between outcomes and experience. Given its roots in the design world, service design is often focussed on the experience. But in some cases the outcome is all that matters. In others, the experience is the outcome. This can complicate the pricing of services and new models are needed.

Pricing and revenue recognition

Pricing and revenue recognition

Revenue recognition seems to be a dull and technical topic, only of interest to accountants and CFOs. This is a dangerous way to think. Revenue recognition principles can shape the design of your services and constrains how you price.

Value Surveys for Pricing Excellence

Value Surveys for Pricing Excellence

At Ibbaka, we begin our pricing work by understanding the value of your product or service from the perspective of your customer. Our approach is to research, validate and quantify the economic (monetary) and emotional value your offer creates for the market with customers and non-customers. By understanding your differentiation relative to the customer’s next best competitive alternative, we can design a pricing model built that communicates and even amplifies your differentiation.

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