One of the factors that determines willingness to pay (WTP) is perceived fairness. In this post Edward Wong looks into what companies need to do to make there their pricing is seen as fair.

Pricing is a critical part of business success and it cannot be left to chance. What role should the CEO play in pricing? It comes down to setting strategy, ensuring alignment, monitoring execution, and taking leadership on pricing ethics and fairness.

Value-based pricing requires trust. Trust between buyer and seller and trust between the sales force, product and service development, marketing and leadership. Trust is based on consistency, transparency, fairness.

Pricing transparency and fair pricing are becoming hot issues. Buyers want to believe their pricing is fair and reflects the value they receive. What does it mean for pricing to be fair and how do you communicate fairness?