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Why Progressive Pricing Is Becoming a Competitive Necessity
Article

Why Progressive Pricing Is Becoming a Competitive Necessity


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Editorial Rating

8

Qualities

  • Innovative
  • Eye Opening
  • Overview

Recommendation

Jean-Manuel Izaret and Just Schürmann, two senior partners at the Boston Consulting Group, ask you to imagine that your firm “could measure, customize and charge for – in real time – the value your products or services create for each customer.” Then they reveal that what seems an impossible idea is already a reality. Learn what “progressive pricing” is (and isn’t), and what four changes every firm must make to adopt this “competitive necessity.” 

Take-Aways

  • “Progressive pricing” disrupts the economic tradition of offering a single, undifferentiated price for a product or service.
  • Instead, progressive prices vary from one customer to the next, proportional to how much value each customer desires.
  • Trends in tech and business are making progressive pricing the inevitable new standard.

About the Authors

Jean-Manuel Izaret and Just Schürmann are senior partners and managing directors at the Boston Consulting Group.