Keurig’s Pricing Strategy vs Low-Priced Ground Coffee
What is Keurig’s Pricing Strategy to fend off ground coffee from cannibalizing its cash cow K-Cups? 1. The price of reassurance “You can always easily go back to ground coffee” If you shop at Costco or Sams, Keurig really wants you to know its brewers also work with ground coffee. It’s willing to “donate” its fancy […]
Disney’s Strategy: Monetizing Your Attention — From Premium Subscriptions to Ad-Supported Tiers
Disney’s new motto: getting you and your kids to watch ads … priceless. Disney+ will serve up some expensive pricing magic … again. The economics of streaming services are increasingly driven by the ad-supported tiers, which have higher ARPU (Average Revenue Per User) because … advertisers will pay a lot to hook us, and even […]
Death, Taxes and … Insurance Premium Increases?
Note: A version of this article about insurance premium increases appeared in our LinkedIn newsletter, Pricing Power Clarity®. Trust Buffett, it’s a great business It’s no wonder Warren Buffett loves the insurance business. He famously declared “The single most important decision in evaluating a business is pricing power.” That statement is getting help from insurers […]
“CPG Pricing Maps: Boost ROI with Trojan Horse Strategies”
.Note: A version of this article appeared in our LinkedIn newsletter, Pricing Power Clarity®. The “classic” price value maps – refresher & setup In my “part 1” of this post I introduced price value maps and what they are for. This appeared originally as a guest post on CPG Data Insights. I focused on “classic” variant […]
Consumer Brands: Pricing Power Moves for Higher Profits
Note: A version of this article was published in our LinkedIn newsletter, Pricing Power Clarity®. Pricing power – defined broadly In our previous newsletter installments, we proposed expanding the accepted meaning of “pricing power” to include the full toolset of pricing and offering design, as long as such actions drive gains in a company’s earnings metric. […]
Tesla’s Pricing Strategy: A Taxpayer Subsidy Beggar?
Note: A version of this article is submitted for publication on Seeking Alpha, the world’s largest investor site, where I occasionally contribute on companies that make consequential pricing strategy decisions. Summary Tesla‘s price cuts signal deep distress ahead based on even basic pricing math, with breakeven virtually certain to be unachievable.The direct admission embedded is that […]
