In this episode, we discuss the concept of the lifetime value of a customer. Case in point: Disney and Universal. Both are theme parks that illustrate different pricing models. Disney focuses on encouraging longer stays and offers discounts for multi-day tickets, while Universal caters to shorter visits and prices accordingly. Tune in to discover how these insights into different pricing strategies can be applied to pricing services in the business world.
Listen now and discover: How Disney’s “loyalty” creates an ecosystem that speaks to their specific target market
How Universal’s employs an opposite strategy that works great for them
What the lifetime value of a customer is and how to tailor pricing strategies accordingly
And so much more!
Your small business takeaways: Your goal when it comes to pricing is to align yourself with the lifetime value of your customers. Understand their behavior, tailor pricing to customer engagement, focus on long-term relationships, create a value ecosystem, and continuously evaluate and adjust. Balancing short-term revenue with long-term customer retention is crucial for small business success.