Comments on: The 5 strategic dimensions of price

By: 7 most common questions I get about price. | StrategyAudit

7 most common questions I get about price. | StrategyAudit — Sun, 24 May 2020 23:59:29 +0000

[…] on a strategically driven price is really fundamental to financial […]

By: strategyaudit

strategyaudit — Fri, 19 Oct 2018 00:03:00 +0000

Rod,
You are absolutely right.
If you are marketing to supermarkets, even if you are Unilever or Coca Cola, your pricing power is very limited, as there are plenty of alternatives, and the retailers have the power to move product around on the selling face to suit them.
By contrast, if you are Apple, you have great pricing power because the product is highly differentiated, at least in peoples minds.

By: Rod St Hill

Rod St Hill — Thu, 18 Oct 2018 06:08:45 +0000

This is an informative article indeed. It might be worth adding that, as a rule, the more competitors in your market niche, the less flexibility you have to use price as a strategic decision variable. I would like to suggest that the pricing decision needs to be considered in the context of product differentiation. If there is a (relevant) point of difference between your product and that of your competitors you have more capacity to use price as a strategic decision variable.