Impact Pricing Mark Stiving, Ph.D.

This is an Impact Pricing Blog published on June 6, 2024, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/price-segmentation-in-action-why-geography-matters-for-your-wallet/
If you have any feedback, definitely send it. You can reach us at mark@impactpricing.com. 
Now, go make an impact.
 
Connect with Mark Stiving:
Email: mark@impactpricing.com LinkedIn: https://www.linkedin.com/in/stiving/  

Mac Kremer leads the pricing strategy practice at K1 Investment Management. He is experienced in B2B SaaS investing and value creation work.
In this episode, Mac shares strategies for growing SaaS businesses through price increases, upsells, cross-sells, and increased usage. It discusses the complexities of implementing pricing systems and emphasizes the importance of flexibility and understanding your pricing model. Additionally, it highlights the need to educate sales teams on value-based selling to reduce discounting and improve sales effectiveness.
 
Why you have to check out today’s podcast:
Discover valuable strategies for growing SaaS businesses, including ways to expand, manage and track revenue streams effectively. Understand the complexities of implementing pricing systems in various-sized companies and find out solutions from simple tools to more sophisticated systems. Learn practical tips on communicating value to customers, helping sales teams to sell more effectively reducing the reliance on discounts.  
"Sit down with whoever's responsible for pricing, decide to set up a committee and a cadence and just start talking about it more and more."
- Mac Kremer
 
Topics Covered:
01:35 - How Mac found himself in pricing
02:42 - Describing his role at a private equity firm as both an advisor and consultant
03:38 - Discussing the importance of customer conversations in understanding value propositions
05:47 - Explaining that value can also include benefits beyond profit
07:28 - Similarities and differences between B2B and B2C purchasing decisions
08:49 - Using ROI calculators and the ability of sales reps to contextualize ROI within the business's specific goals
09:56 - How ownership of pricing in a company depends on its stage of development
14:01 - Importance of forecasting and budgeting for pricing activities
16:00 - Understanding the sources of revenue growth highlighting the four ways to grow a customer: Win, Keep, Grow
19:49 - What to focus on when it comes to net revenue retention
21:35 - Variety of pricing systems used and how it depends on the complexity of pricing models used
23:55 - The complexities of implementing and managing pricing systems as companies grow
25:57 - Helping salespeople understand and communicate value
29:06 - Mac's best pricing advice
 
Key Takeaways:
"Customer conversations are so critical to understanding the value proposition of your solution, and where you kind of see your customer's perceiving value before you even start to talk about price." - Mac Kremer
"The best place to start when you're having customer conversations is, you can go in and you can kind of engineer the true value calculator, the EVC, the economic value to the customer. But I think it's also just understanding their perception of the value that they're receiving. Because I think value comes in a lot of different forms, even outside of just profit." - Mac Kremer
"A lot depends on the complexity of your pricing model when you go to think about what system we should be using?" - Mac Kremer
 
People/Resources Mentioned:
Maxio: https://www.maxio.com Chargebee: https://www.chargebee.com Gainsight: https://www.gainsight.com NetSuite: https://www.netsuite.com/portal/home.shtmlSalesforce:https://www.salesforce.com Tableau: https://www.tableau.com  
Connect with Mac Kremer:
LinkedIn: https://www.linkedin.com/in/mac-kremer/
 
Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: mark@impactpricing.com  

This is an Impact Pricing Blog published on May 30, 2024, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/the-price-is-never-right/
If you have any feedback, definitely send it. You can reach us at mark@impactpricing.com. 
Now, go make an impact.
 
Connect with Mark Stiving:
Email: mark@impactpricing.com LinkedIn: https://www.linkedin.com/in/stiving/

With 10+ years in strategic data-marketing, digital, AI and management consulting across sectors like automotive, travel, pharma, and BPO, Fabien Cros has been recognized for his knack to develop and deploy impactful, data-driven solutions. His expertise spans data consulting, AI solutions, UX, marketing analytics, and more.
In this episode, Fabien shares successful case studies, such as Patagonia and Decathlon, demonstrating how companies can transition to more sustainable business models and achieve higher profitability. Also, learn practical advice and strategies that can be directly applied to a company's business operations, helping make informed decisions and drive impact. 
 
Why you have to check out today’s podcast:
Discover how to incorporate sustainability into your business models and pricing strategies, gaining valuable insights along the way Gain in-depth knowledge and practical advice on leveraging sustainability as a competitive advantage, backed by real-world examples and data Learn why there is a significant untapped market for sustainability-focused products and services, making it relevant for businesses aiming to capture new customer segments and drive profitability  
"Go in depth, over-segment your market because you need to understand this new trend emerging around sustainability. Because it's a major untapped market for a lot of brands and companies."
- Fabien Cros 
 
Topics Covered:
01:52 - How he got into pricing
03:43 - Introducing the concept of integrating pricing strategies with sustainability goals
10:25 - Discussing the challenges and benefits of integrating sustainability into pricing strategies
14:23 - Delving deeper into the concept of sustainability in pricing -- that sustainability is more than just a feature; it's a fundamental shift in business practices
18:30 - Acknowledging challenges integrating sustainability in pricing but also highlighting growing consumer awareness and regulatory pressures around sustainability
22:46 - The potential for sustainability as a competitive advantage in pricing strategies
27:21 - Examples of large companies successfully integrating sustainable practices
30:23 - Fabien's best pricing advice
 
Key Takeaways:
"What we say with Pricing for the Planet is, move to what we call 21st century concept which is value-based pricing. That way you can create additional revenue and additional profits. That way you can invest into sustainability." - Fabien Cros 
"The data is showing us that you have a subset of the population. They're so passionate and they're so convinced that it's crucial that you cannot forget this market and this market segment could actually fuel a lot of the money and a lot of the financial need that is required to move to a more sustainable business model." - Fabien Cros
“We are trying to convey this message that sustainability could be viewed as a feature for the end users, but it's a new way of doing business.” - Fabien Cros 
 
People/Resources Mentioned:
Accenture: https://www.accenture.com/ Stephan Liozu: https://impactpricing.com/podcast/582-segmentation-strategies-uncovered-driving-revenue-through-focus-and-value-with-stephan-liozu/ Schneider Electric: https://www.se.com/ww/en/ Patagonia: https://www.patagonia.com/home/ Doc Martens: https://us.rewair.drmartens.com/ BCG: https://www.bcg.com Michelin: https://www.michelinman.com Decathlon: https://www.decathlon.com  
Connect with Fabien Cros:
LinkedIn: https://www.linkedin.com/in/fabien-cros-3b66a332/ Website: https://www.pricingfortheplanet.com/  
Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: mark@impactpricing.com  

This is an Impact Pricing Blog published on May 23, 2024, turned into an audio podcast so you can listen on the go.
Read Full Article Here: https://impactpricing.com/blog/how-value-based-selling-marketing-work-together-to-drive-increased-profitability/
If you have any feedback, definitely send it. You can reach us at mark@impactpricing.com. 
Now, go make an impact.
 
Connect with Mark Stiving:
Email: mark@impactpricing.com LinkedIn: https://www.linkedin.com/in/stiving/  

Dr. Thomas (Tom) Nagle founded the Strategic Pricing Group (now part of Monitor Deloitte) in 1987 soon after publication of the first edition of The Strategy and Tactics of Pricing. For more than three decades, he has advised companies, primarily in B-to-B markets, on how to manage more profitably the five elements of pricing strategy: Value Creation, Value Communication, Price Structure, Pricing Policy, and Competitive Price Setting.
In this episode, Tom shares how value is perceived and measured by customers, emphasizing the distinction between economic value and willingness to pay. He also delves into the complexities of pricing negotiations, highlighting the importance of understanding customer perceptions and effectively communicating the impact of products or services on their business outcomes. 
 
Why you have to check out today’s podcast:
Understand the intricacies of value-based pricing, distinguishing between economic value and willingness to pay, and providing real-life examples illustrating these concepts effectively Delve into these two critical decisions buyers make to help you better understand and influence customer purchasing behaviors Find out practical advice on handling price negotiations, emphasizing the importance of "gives and gets" and strategies to avoid undermining your pricing integrity  
"Don't ever believe what the customer is telling you upfront about what their value is. They may believe it, but they don't know the impact."
- Tom Nagle
 
Topics Covered:
01:29 - His early experiences with pricing influenced by his grandmother and how he got into pricing professionally
03:16 - How it is more effective to focus on market response to price changes and gather qualitative insights from clients than just precisely measuring elasticity
08:49 - Important thoughts on why pricing didn't matter much then before its deregulation
11:28 - Explaining the concepts of value and value-based pricing with an example illustrating the point
16:56 - The need to create policies to maintain price integrity and managing negotiations to prevent undermining value capture
23:25 - Discussing the concept of value-based pricing and sharing an insightful example where a service's value was evaluated against the status quo rather than a competitor
26:16 - Tom's best pricing advice
 
Key Takeaways:
"The goal is not to try to put a line between them that's a weighted average of the high prices and the low prices, and call it a demand curve. The goal is to figure out why we have all this variation and use that variation to create segments that eliminate the trade off between price and volume." - Tom Nagle
"The value isn't in the product. You can study the product from now until kingdom come, and you are never going to understand the value by studying the product. You have to study how the products' benefits impact the customer's income statement." - Tom Nagle
 
People/Resources Mentioned:
Financial Analysis for Profit-Driven Pricing: https://sloanreview.mit.edu/article/financial-analysis-for-profitdriven-pricing/ Walmart: https://www.walmart.com DuPont: https://www.dupont.com Malcolm Baldrige National Quality Award: http://asq.org/quality-resources/malcolm-baldrige-national-quality-award  
Connect with Tom Nagle:
LinkedIn: https://www.linkedin.com/in/thomas-tom-nagle Email: thomasnaglephd@gmail.com  
Connect with Mark Stiving:
LinkedIn: https://www.linkedin.com/in/stiving/ Email: mark@impactpricing.com