For some, the COVID-19 pandemic presents business opportunities.  For most, it creates a crisis.  What should executives do with pricing during this time? Observation reveals a variety of price response options. Price gouging, price promotions and discounts, and dramatic price increases and decreases have all occurred within the first months of COVID-19 reaching the European…

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High Growth Billion Dollar Industry: Plant-Based Meat The plant-based meat market has grown to just under a billion dollars in sales for 2019 according to SPINS scan data and IRI, up 18% from the prior year. With growth like this, do companies hold prices high given the obvious high demand or slash prices in an…

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Looking in a small bookshop, with many books in a rack.

Who would have imagined, with the huge decline in retail and shopping center sales, that independent bookstores would be thriving? According to the Christian Science Monitor, in the past decade the number of independent booksellers has increased by 50%, from 1,651 stores to more than 2,500. According to Dan Cullen, senior strategy officer of the…

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tim_chart_march2020

Consumer packaged food giants Kellogg’s, Mondelez, Kraft Heinz, Nestle, and Unilever are facing a long-term trend challenge.  At the low-end, increased competition from store brands erode pricing power and market share. At the high-end, upstart food makers with minimal experience bring new products to market that grab significant profit share.  These trends are not new. …

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One word

Pricing projects generally involve a high level of collaboration and coordination between numerous departments in an organization. At a minimum, representatives from sales, marketing, and finance should have a seat at the table. There are many advantages to having a cross-functional team, including having a diverse range of backgrounds, experiences, and training. However, a common…

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Elon Musk Delivers Pleasant Surprise Tesla Inc. had record deliveries in Q3 2019 resulting in overall profits. Anticipated 2019 production is currently at 360,000 – 400,000 units.  Profits had previously been suppressed at Tesla due to low production volumes (incapable of hitting targets) and the lowering of prices. Elon’s price targets for Tesla only work…

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Amazon is not the only internet giant that has dealt a severe blow to brick-and-mortar retailing. Another Internet retailer, Wayfair, Inc., has also thrust a sword into conventional retailing. Like Amazon, which began simply as a book retailer, Wayfair has also evolved from an early e-commerce start-up concept into a behemoth. The Wayfair story began…

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Rumors of the demise of retailing are highly exaggerated. In the article “Brick-and-Mortar Stores Are Making a Comeback,” author Jon McFarland Flint interviews two Harvard Business School faculty: Antonio Moreno, associate professor, and Jill J. Avery, senior lecturer. In this Q&A, they discuss the problems retail stores have encountered in recent years and provide some…

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Amazon Prime

Anyone who follows the retail industry is aware of the relentless ascent of Amazon, a tech giant that has completely transformed the way that millions of people worldwide purchase products. Perhaps Amazon’s most famous innovation is Amazon Prime, a subscription service that includes free two-day delivery on millions of items for sale on their online…

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The profit revenue bridge for pricing analytics dashboards

Executive dashboards are valuable coordination tools. They help pricing teams communicate facts and identify areas deserving executive attention. This is demonstrably clear. Yet, what facts specifically should be on a pricing dashboard? What are the issues that pricing should bring to the attention of their CEOs? To address this question, I asked ten different pricing…

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