Many companies provide learning resources to support the adoption of their technologies. Visionary companies and those engaged in category creation go beyond this to help people develop domain level expertise. Large, mature companies often support certificates and credentials. What does value-based pricing have to say about pricing strategies for learning resources?

Ibbaka spoke with pricing expert Mark Stiving about how he developed his expertise in pricing, what could be done to improve pricing education at business schools and the value capture gap. In Mark’s experience, the value capture gap is one of the most effective frames for engaging company leaders in a conversation on pricing.

In a time of uncertainty one of the most powerful tools we have is scenario planning. This approach has been underutilized in pricing, but its power is now becoming apparent. There are three key ways to use pricing scenarios. Each of these is explored here.

Value drivers are generally stable over time. Once you understand them and have used them to segment your market you have a solid foundation for your pricing strategy. But when there is a severe supply or demand shock, and we currently have both, that can change. There are some standard patterns for how value drivers change. Understanding these is critical to planning your response to the COVID 19 crisis.

“Everyone has a plan until they are punched in the face.” Mike Tyson famously said. Many of us feel like we have been punched in the face and are scrambling to respond and not react, adjusting our pricing, applying discounts and changing terms of trade on the fly. Willingness to pay has been replaced by ability to pay or even interest in paying. Let’s share how each of us are responding.

Different scenarios offer insight into optimizing pricing for various conditions, including commodity markets, loyalty-driven demand shifts, & extreme demand scenarios. Segment customers based on market dynamics to adapt pricing strategies effectively.

Scenario planning is a powerful tool for managing uncertainty. It is a powerful way to frame pricing strategy and to prepare a portfolio of pricing actions. Planning is important to pricing agility.

In a time of great uncertainty transfer risk from your customer to yourself. One way to do this is with usage based pricing. Layering in usage based pricing is a good pricing strategy to increase willingness to pay (WTP).

Value based pricing relies on a deep understanding of value drivers. In B2B pricing, the focus is often on economic value drivers. Most economic value drivers concern the profit and loss statement. But in some cases there are value drivers that impact the balance sheet. Understanding balance sheet value drivers is an important part of value based pricing.

One cannot plan pricing actions in isolation. Pricing excellence requires a portfolio of possible actions, with different levels of investment and different levels of risk and return. Learn how to build and manage your pricing action portfolio.

Is pricing a lever that can impact Net Promoter Score and Share of Wallet? How do these interact with

Pricing is one of the most powerful ways to change up your business. There are many different pricing actions you could take, so how do you decide which to invest in? Treat your pricing actions as a portfolio. Make sure you are design pricing to accelerate learning.