How to Master Pricing and earn a competitive edge!
An excellent book,🔥“The Pricing Model Revolution” by Danilo Zatta, PhD, MBA
Quoted as best-read in Pricing by Philip Kotler🙏
The book was part of my seaside and café reading, visiting Mani & Sparta in Greece, and made my stay even more inspiring💡
I was intrigued to read it for three reasons:
➡️ The author is a highly acclaimed Pricing expert🙏
➡️ It’s recommended by the guru of marketing, Philip Kotler, as a best-read in Pricing👍
➡️It’s recommended by Pol Vanaerde, founder of the EPP - Pricing Platform👌
Although my expectations were high, the book proved even more exciting than I thought!
To start with, the book:
➡️ Has great pricing material, suitable for experts but also less advanced audiences
➡️ Covers every critical approach in pricing, including traditional and more state-of-the-art like AI-based pricing and Neuropricing
➡️ Follows a unique structure, starting with some example cases, then bringing theory and practice into context, and ending with a quick, highly appreciated😊, summary
But “The Pricing Model Revolution” is much more than an excellent pricing encyclopedia!
The most exciting part comes when the author unveils the true power of PRICING as:
➡️ The most important PROFIT driver🚀
➡️ A generous source of COMPETITIVE ADVANTAGE💪
The last point is, in my opinion, the highlight of the book💡
I’ve been in the SaaS business for a long time and witnessed how Salesforce, Microsoft, Google, and numerous other SaaS companies built a competitive edge based, at least partly, on their pricing logic! By the time you finish the book, you’ll understand how to use a similar approach in this or other sectors!🙌
Some other highlights from the book that I liked:
➡️ Cost Plus Pricing is obsolete: Adding your desired margin to your costs is a thing of the past
➡️ Pricing is a journey: It’s much more than setting the price and involves positioning, price logic, implementation, and control, just to mention some pricing excellence milestones
➡️ Pricing can yield significant returns: Investing in your pricing journey can generate strong single-digit growth in revenue and more in profits
➡️ Pricing is hot now: The evolution of new digital ecosystems, technological enablers, data & AI-driven decision-making, and innovative marketing approaches act as a catalyst for pricing innovation
Some example cases I adored:
😍 Adobe Creative Cloud: using SaaS pricing as a competitive advantage
😍 Teatreneu: Pay per laugh
😍 Uber: Dynamic & AI-driven pricing
😍 Karma Kitchen: Pay what you want
😍 Pepsi: Neuropricing
😍 Everything in the Psychological pricing chapter!
If you want to quickly understand pricing and why this is a revolution, then "The Pricing Model Revolution" is the book to read!
Interested in learning more about AI-Powered Price Optimization and Strategic Forecasting?