Subscription Pricing: New Ground for Enterprise Software Vendors

Adobe's recently announced that their flagship product, Creative Suite, will now only sold as a subscription service.  This is further evidence that the days of selling traditional, out of the box software, in a buy-to-own model is slowing down.  The emergence of cloud computing is not only changing the way consumers access and use software, … Continue reading Subscription Pricing: New Ground for Enterprise Software Vendors

Avoid The Premium Position Trap

From: “Google and Facebook Fly Into Server World’s Bermuda Triangle” http://www.wired.com/wiredenterprise/2011/11/server-world-bermuda-triangle/ In many industries, established marker leaders are being challenged by low-cost competitors – competitors that offer “good enough” products and services at very low prices. In this article the low-cost threat is coming from “original design manufacturers” based in developing Asian countries. The article … Continue reading Avoid The Premium Position Trap

Is Price An Impediment To Sales?

Traditionally, pricing exercises are done with a revenue or sales margin target in mind. Marketers fail to realize that value based price setting can also serve as a useful way to segment the market and fence competition off. I’ll try to address both these very briefly in this post.  As a pricing strategist you need … Continue reading Is Price An Impediment To Sales?