Upon completion of this course, participants will be able to:

• Master the three main approaches to pricing: **Cost-Based, Competition-Based, and Value-Based** pricing.
• Conduct rigorous market research and analysis to determine true **Price Elasticity** of demand.
• Design and implement a profitable **Value-Based Pricing Model** that captures the full customer perceived value.
• Apply principles of **Pricing Psychology** (e.g., anchoring, framing, decoy effect) to optimize price perception.
• Develop optimal **Pricing Structures** (subscriptions, bundles, tiered pricing) and effective discounting strategies.
• Analyze the competitive landscape and design a strategy for price changes (increases and decreases).
• Implement and utilize **Dynamic Pricing** models in response to real-time supply, demand, and competitive shifts.
• Measure the financial impact of pricing decisions on gross margin and overall profitability.

• Pricing Managers and Analysts
• Product Managers and Directors
• Marketing Managers and Strategists
• Sales Leaders involved in large deal negotiation
• Finance Managers and CFOs focusing on margin optimization

• Group Workshop: Designing a Value-Based Pricing Model and Value Communication Strategy
• Case Studies on Major Corporate Pricing Mistakes and Successful Price Increases
• Individual Exercise: Calculating Price Elasticity and Modeling Price Volume Trade-Offs
• Role-Playing: Training a Sales Team on Defending a Premium Price Point
• Discussions on Ethical Pricing, Price Gouging, and Transparency in B2C/B2B Pricing

Unit 1: The Foundations of Pricing Strategy

• The strategic importance of pricing: its direct impact on profitability and volume.
• Differentiating the three core pricing models: cost-plus, competitor-based, and **Value-Based Pricing**.
• Analyzing the concept of **Price Elasticity of Demand** and how to measure it.
• Understanding the external and internal factors that constrain or enable pricing decisions.
• The role of ethical pricing and legal compliance in a competitive environment.

Unit 2: Value-Based Pricing Mastery

Capture and Articulation
• Mastering the process of identifying and quantifying **Customer Perceived Value** (CPV).
• Techniques for translating CPV into a defensible price point and value proposition.
• Strategies for effective **Value Communication** and shifting the customer focus away from cost.
• Implementing a **Pricing Waterfall** to analyze realized price versus list price.
• Conducting research to determine willingness-to-pay (WTP) and optimal price windows.

Unit 3: Pricing Structure and Psychology

Design and Perception
• Designing optimal **Pricing Structures**: tiered models, subscription tiers, and usage-based pricing.
• Mastering the design and financial modeling of product and service bundles.
• Applying **Pricing Psychology** tactics: anchoring, framing, the decoy effect, and charm pricing.
• Strategies for managing the implementation of price increases while minimizing customer churn.
• Developing a clear, consistent discount policy and managing price exceptions.

Unit 4: Competitive and Dynamic Pricing

Positioning and Real-Time
• Conducting a rigorous competitive pricing analysis and positioning strategy.
• Developing a proactive strategy for responding to aggressive competitor price changes.
• Mastering the principles and implementation of **Dynamic Pricing** based on supply, demand, and inventory.
• Utilizing technology and AI to automate competitive price monitoring and response.
• Strategies for achieving price parity across different channels (online, retail, partner).

Unit 5: Pricing Governance and Profitability Analysis

Control and Metrics
• Implementing a formal **Pricing Governance** structure (pricing committee, approval workflows).
• Key pricing metrics: **Gross Margin, Realized Price, Discount Leakage, and Price Volume Trade-off**.
• Conducting a systematic audit of the current pricing structure and identifying profit leaks.
• Techniques for training sales teams to negotiate for value, not just on price.
• Developing a framework for continuous price testing and optimization.