E-Commerce


Customers should easily understand pricing in one read

I know I’m not telling you anything you don’t know, and Product A is a work-in-progress in terms of sales and pricing, but you could never scale Product A to hundreds or thousands of customers if you have to do as much hand-holding as has been required for recent customers. This seems to indicate that the pricing scheme is not simple enough. – sp

Marketing Pricing The right price for parking is the lowest price you can charge and always have one or two spaces left to park. How is pricing strategy developed in the company?  What are the factors that affect pricing strategy? (a) cost-of-goods sold; (b) overhead; (c) competitors’ pricing; (d) past pricing trend; (e) customer sensitivity to price; (f) volume; (g) “market-will-bear” pricing  What has been the price trend for the past five years?  What is the price trend for the next five years?  Will price competition increase in the next five years?  Is there a price leader in the industry? If it’s not the company, why?  Do salespeople (and others) have the approval to sell products at a price that differs from the approved price list?  Are prices reviewed/adjusted each year?  Can cost increases generally be passed on to the customer?  Are we routinely using online comparative shopping systems to monitor and adjust our pricing relative to the competition?  Do we have a good understanding of how our customers react to price changes or discounting policies?  Have we correctly segmented our customers when it comes to pricing and discounting?  Do we provide our sales channels clear discounting guidelines and targets?  Do our sales people offer discounts outside of margin guidelines?  Can we quickly adapt to market changes to achieve short-term objectives without sacrificing margin or damaging long-term growth?  Do we have real-time visibility into profit performance by channel, product, and customer segment?  Are we able to quickly sense and respond to emerging opportunities and competitive threats as they arise?  Is our pricing and promotion strategy driven only by costs and competition, or more by our customers? in general: pros | www.vendavo.com | www.zilliant.com | price fixing | real-time pricing intelligence: blacklocus | revenue management: modeln categorical thinking: Does bundling products together undermine their value? lease pricing: What percentage of sales are leases?  What is the length of a typical lease?  What percentage are full payout leases?  Does the company have any third-party leasing agreements at present?  Are the company’s license agreements effective revenue generators? software: Can we demonstrate an immediate return on investment (ROI) for our software customers?  Can we track the success of our technology implementation?  Do we map the cost of our software to our customers' business needs in measurable ways?  Do we help customers justify software purchases internally?  Are our software contracts easier to understand than the competition's?  Do we offer more manageable terms that do not lock-in customers to outdated products?  Is our warranty and performance guarantee credible?  | digital licensing: www.protexis.com | recommend new software at install time: opencandy books and articles: Competitive Pricing: Harnessing the Power of the Waterfall Model Accenture | Customers Will Pay More for Less Chernev | Priceless: The Myth of Fair Value Poundstone | The Strategy and Tactics of Pricing Nagle Art | Customer | Supply Chain | Inflation | Buying

Keep it simple, stupid (KISS).

 

RadioShack files for bankruptcy

Development of Technology Innovation  RadioShack files for bankruptcy. Garages are the authentic American fablab. sp | Will Uber’s autonomous cars destroy millions of jobs? Is innovation predictable? Does every innovation begin with a question? What can pirates, terrorists, computer hackers and inner city gangs tell us about the misfit economy?  Where do big ideas come from? Does public scrutiny and high expectations of stock value impede corporate innovation?  Do your innovation teams have a blend of cognitive types? (a) creative’s; (b) detail-oriented; (c) conformists Who is the greatest innovator of the past decade?  How is innovation management handled across the enterprise?  What internal and external resources are used to stimulate and guide innovation?  What percentage of revenues is from new products introduced in the last two years?  Is innovation blocked or stagnated in the company?  Why? (a) too many layers of approval required; (b) bad decisions due to lack of info flow up through the organization; (c) unsynchronized incentive systems; (d) slow response time to customers and market; (e) "not invented here" syndrome; (f) "always done it this way" syndrome; (g) creativity and innovation are driven underground; (h) overall frustration and dissatisfaction; (i) customers are angry and alienated  How fast can a new idea be tried out at the company? Months? Weeks? Days? Hours?  Does the company's new product satisfy the requirements for rapid diffusion into the marketplace? (a) Simple; (b) Compatible; (c) Observable; (d) Trialable  Do we focus our creative efforts toward the creation of value for others?  Do we consistently see opportunity in the face of adversity?  Do we cultivate collaboration through diversity in our social and professional networks?  Do we make the most of our programs for learning and training?  Do we cultivate a healthy work/family balance?  Do we work on becoming good presenters?  Do we have a good understanding of our core competencies and how to focus them on opportunities in the marketplace?  Do we periodically challenge long-held assumptions (assumption busting) to open up possibilities for novel solutions that are rooted in a fundamentally different understanding of the problem? in general: Create a path that makes it easy for good people to do good things, and they will do it. | www.ninesigma.com | digital literacy | conferences: innovation.economist | commercialization: copycats | corporate sponsorship: Shell’s GameChanger | crowd-sourced: openIDEO | design: catapultdesign | digital brainstorming: branddelphi | energy: ARPA-E Energy Innovation Summit | enterprise social innovation: 3ds | federal sponsors: NSF I-Corps | follow the patents | quid | games: disruptus | global innovation index: www.managementtoday.co.uk/news/610009 | government impact: Permissionless Innovation Thierer | incentivization | innovation ecosystem | marketplace: planeteureka | museums: nobelmuseum | on-demand management: acceptsoftware, brightidea | resources: strategos, centricsoftware, ninesigma | product lifecycle management: www.centricsoftware.com, rymatech, www.acceptsoftware.com | states: illinoisinnovation | students: Design for America, hackathon | team building: www.celemi.com | timeline: stages of evolution | ultra high-speed networks: gig-u | young innovators: Disney's Big Hero 6 - XPRIZE Challenge academic research: Research Excellence Framework REF breakthroughs: FAST’s top 50, popular science top 100, Wharton’s 30 over 30 disruption > obsolescence: What added value does your retail outlet offer the customer today vs buying real-time/online? | A Total Disruption | Blackberry | creative destruction: ice > refrigerator | devices: sliderule | education: imagine K12 | gigaomnetwork | publishing: The Great Amazon Debate salon | retail: RadioShack bankruptcy | taxis: Uber |  top 10 | trends: techie xprize: Revolution through Competition | exponential innovation: overview |  xprize.org big ideas | tricorder books, articles, essays, portals: Abundance Diamandis | Closing the Innovation Gap Estrin | Creating Innovators | Epistemology of Innovation Vojak | fastcoexist | Open Innovation Chesbrough | Reverse Innovation Govindarajan | Ten Steps for Innovators Houtman | The 50 Greatest Breakthroughs Since the Wheel Fallows | The Innovator's Dilemma Christensen | The Medici Effect Johansson | The Power of Two Shenk Retail | Jobs | Entrepreneurship

What added value does your retail outlet offer the customer today vs buying real-time/online?