Innovation isn’t only limited to the product, the other P’s can also be leveraged for innovation. As product marketers / product managers, we can drive innovation with pricing, placement and promotion. Todd Sattersten has created this presentation which leverages pictures to provide insight into how pricing can change the business. this is a follow up to the eBook on Pricing he did in early 2010. Worth the click through – thanks todd!
There has been a good deal of chatter on #prodmgmt over the past month or so on pricing, so I thought I would point you to Todd Sattersten’s eBook on pricing. A nice baseline of concepts and a quick read.
Hugh’s recent I quit Twitter initiative took me back to his blog again. Hugh’s renewed focus on writing and creativity is refreshing to hear about. While browsing I again ran into the image below, which reminds me of the importance packaging a software product for the a given market segment and within the then current economic context. As I talk to product managers and technology marketers there is considerable churn and angst about managing their businesses into a tight spend cycle. Packaging up into value and down into customer acquisition with planned out year up sells are two themes I’ve been seeing in the marketplace.
Are you simplifying, enriching or repricing your solutions?
From my limited experience, economic states and packaging are temporary, price maybe not. Thanks for the reminder Hugh!
So with the recent Starbuck’s test of a $1.50 short in Seattle and rumors of a $1 bottomless cup it could make it cheaper to consume more paper products and miscellaneous packaging. That being said – you can make your own coffee, here is the ROI to justify a crazy expensive espresso and cafe Americano maker. Not sure this model would standalone under the $1 pricing model.
Below is a baseline framework for establishing the benefits of brewing your own coffee, the model assumes you are financially responsible in part for someone else’s coffee too.
Benefit can be accelerated through more consumption and a lower grade coffee platform.