If software is eating the world (Mark Andreessen) than Artificial Intelligence is eating software. AI has come of age and over the past few years we have seen a blossoming of real world applications. There is still a lot of confusion about how to price and monetize this innovation. Ibbaka proposes a general framework for pricing AI.

Chat GPT from Open AI has been getting a lot of attention recently. It is a window into the future of how AI and how we will work with AIs. Ibbaka asked Chat GPT about pricing and product-led growth. See what an AI has to say.

Most companies have moved from having a price to having a pricing model. This is a necessary step towards the next generation of pricing excellence. But a pricing model without a value model is adrift. It does not help align the value to customer (V2C) to the price. It is only half the story. Effective pricing strategy requires that we connect a value model to a pricing model.

Ibbaka is sharing a comprehensive set of value-based pricing decision guides and tools that you can use in your product and services management, marketing and sales and customer success work. Build your business on the value you deliver to your customers (V2C or Value to Customer). Let us know what pricing decisions you need to make and what tools will be of most value to you.

The economy will emerge from the pandemic at different times and speeds depending on sector and geography. This will be a tactical challenge for most pricing experts and it will be easy to make mistakes and get your timing wrong. A solution is indexed pricing. Demonstrate that you understand your customer’s business by usinng indexed pricing.