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Introduction: Changing the Pricing Conversation 1 Part I Rethinking Pricing Strategically 19 Part I 19 1 Three Information Sources 25 2 Four Economic Frameworks 40 3 Seven Games in the Strategic Pricing Hexagon 51 4 Six Market Forces 69 5 What the Hex? The Political Angles of Pricing Decisions 77 6 What’s Next? The Design of Pricing Models 90 Part II Winning the Seven Pricing Games 107 Part II 107 7 The Value Game: When Art Trumps Science 109 8 The Uniform Game: The All- Time Classic 119 9 The Cost Game: Where Efficiency Reigns 134 10 The Power Game: When Every Move Counts 147 11 The Custom Game: Making Sense of the Chaos 163 12 The Choice Game: Framing Options for Customers 179 13 The Dynamic Game: When Everything Matters 194 Part III Changing Your Pricing Game 209 Part III 209 14 Innovation: Seizing a Step- Change Opportunity 211 15 As- a- Service: Growing with Your Customer 219 16 AI: Perfecting Price Differentiation 228 17 Channel: Going Direct to Consumers 237 18 Scale: Achieving the Ultimate Cost Advantage 246 19 Free: Competing with the Most Magical Price Point 254 Part IV Shaping Society Through Pricing Decisions 265 Part IV 265 20 Fairness: How to Differentiate Prices Across Customers 267 21 Equitable Pricing: How Buyers and Sellers Share Value 281 22 Access: How Pricing Can Eradicate Diseases 294 23 Green Premium: How to Shape Demand for Sustainable Solutions 308 24 Co2 : How to Encourage Lower Carbon Emissions 325 25 Impact: How Progressive Pricing Can Scale Social Ventures 337 Epilogue 349 Appendix: About the Studies 353 Notes 359 Acknowledgments 387 About the Authors 391 Index 393 |
JEAN-MANUEL IZARET (JMI) is the Global Leader of BCG’s Marketing, Sales, and Pricing Practice. Before joining BCG in 1997, he received a PhD from Ecole Centrale in Paris.
As a Bruce Henderson Institute Fellow, he has studied pricing model innovations in technology, biopharma, industrial goods, financial services, and consumer services. He also explored how pricing and economic models could help solve issues such as education and climate-change mitigation.
JMI lives in Berkeley, California.
ARNAB SINHA is a Senior Partner and Managing Director at BCG where he leads the Pricing Practice for North America and for the consumer sector. Prior to joining BCG in 2005, he received a PhD from the Massachusetts Institute of Technology.
Arnab develops pricing strategies in sectors as diverse as airlines, automotive, beverages, food, luxury goods, and restaurants. He co-developed BCG’s intellectual property and software that use artificial intelligence to optimize pricing and promotion strategies.
Arnab lives in Philadelphia, Pennsylvania.