In this episode of Pricing College – we start discussing the big issues. What is value based pricing. This is a basic intro by Aidan and Joanna discussing the topic – rest assured, we will revisit this topic in detail in the future.

TIME-STAMPED SHOW NOTES:

[00:40] Joanna explains that value based pricing is becoming more accepted.
[01:00] Many companies have a reluctance to move to value based pricing for some reason.
[01:20] So what is value based pricing?
[03:00] This pricing approach can sometimes seem very difficult on first impression.
[03:50] Aidan raises the concept of rebadging cars
[04:25] It is vital to work out customer segmentation.
[04:55] We are not saying over charge.
[05:20] Did Aidan just mention handbags?

LINKS MENTIONED IN TODAY’S EPISODE:

Rebadging in car industry

Cost to make a luxury handbag

Value based pricing