Key Pricing Terms Clearly Explained
A growing collection of pricing and commercial strategy definitions designed to make complex topics easier to understand.
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What Is Pricing Analytics
Pricing analytics is the use of transaction, customer, and...
Read definitionWhat Is a Pricing Strategy Consultant
A pricing strategy consultant is a specialist who helps...
Read definitionWhat Is a Price Increase Strategy
A price increase strategy is the structured plan a...
Read definitionWhat Is Price Realization
Price realization is the percentage of list price a...
Read definitionWhat Is Pricing Power
Pricing power is a company’s ability to raise prices...
Read definitionWhat Is Margin Erosion
Margin erosion is the gradual decline of a company’s...
Read definitionWhat Is Discount Management
Discount management is the set of policies, approvals, and...
Read definitionWhat Is a Price Waterfall
A price waterfall is an analytical framework that traces...
Read definitionWhat Is Pocket Price
Pocket price is the revenue a company actually keeps...
Read definitionWhat Is Revenue Leakage
Revenue leakage is the gap between the revenue a...
Read definitionWhat Is Enterprise Pricing
Enterprise pricing is a custom, negotiated pricing approach used...
Read definitionWhat Is Per-User Pricing
Per-user pricing is a model that charges customers based...
Read definitionWhat Is Flat Rate Pricing
Flat rate pricing is a model that charges a...
Read definitionWhat Is Tiered Pricing
Tiered pricing is a strategy that groups an offering...
Read definitionWhat Is Usage-Based Pricing
Usage-based pricing is a monetization model that charges customers...
Read definitionWhat Is Price Skimming
Price skimming is a pricing strategy that launches a...
Read definitionWhat Is Good-Better-Best Pricing
The most useful thing good-better-best pricing does happens before...
Read definitionWhat Is Conjoint Analysis
Ask a buyer what they want and they will...
Read definitionWhat Is Competition-Based Pricing?
Competition-based pricing is a strategy that sets prices primarily...
Read definitionWhat Is Value-Based Pricing
A price floor and price ceiling are boundaries that...
Read definitionWhat Is Price Floor and Price Ceiling
A price floor and price ceiling are boundaries that...
Read definitionWhat Is Dynamic Discounting
Dynamic discounting is a pricing approach where discounts are...
Read definitionWhat Is Skimming Pricing Strategy
Skimming pricing strategy is a pricing approach where a...
Read definitionWhat Is Charm Pricing
Charm pricing is a pricing technique where prices are...
Read definitionWhat Is Price Ladder Strategy
Price ladder strategy is a way of structuring pricing...
Read definitionWhat Is Subscription Pricing Model
A subscription pricing model is a pricing approach where...
Read definitionWhat Is Freemium Pricing
Freemium pricing is a model where a company offers...
Read definitionWhat Is Pay-Per-Use Pricing
Pay-per-use pricing is a pricing model where customers are...
Read definitionWhat Is Price Sensitivity Analysis
Price sensitivity analysis is the process of measuring how...
Read definitionWhat Is Price Anchoring
Price anchoring is a pricing method where the first...
Read definitionWhat Is Bundling Pricing Strategy
Bundling pricing strategy is the practice of combining multiple...
Read definitionWhat Is Price Discrimination
Price discrimination is a pricing strategy where a company...
Read definitionWhat Is Premium Pricing
Premium pricing is a strategy where a company sets...
Read definitionWhat Is Penetration Pricing
Penetration pricing is a strategy where a company sets...
Read definitionWhat Is Cost-Plus Pricing
Cost-plus pricing is a pricing method where a company...
Read definitionWhat Is Pricing Performance Monitoring
Pricing performance monitoring is the ongoing process of evaluating...
Read definitionWhat Is Competitive Price Intelligence
Competitive price intelligence is the process of understanding how...
Read definitionWhat Is AI-Guided Price Optimization
AI-guided price optimization is the use of artificial intelligence...
Read definitionWhat Is Pricing Diagnostic
A pricing diagnostic is an evaluation of pricing strategy,...
Read definitionWhat Is Pricing Transformation
Pricing transformation is the process of redesigning pricing strategy,...
Read definitionWhat Is Price Governance
Price governance is the framework a company uses to...
Read definitionWhat Is Packaging Optimization
Packaging optimization is the process of structuring products or...
Read definitionWhat Is Pricing Segmentation
Pricing segmentation is the practice of setting different prices...
Read definitionWhat Is Willingness to Pay
Willingness-to-pay is the maximum price a customer is willing...
Read definitionWhat Is Price Optimization Software
Price optimization software is a tool that uses data,...
Read definitionWhat Is Price Elasticity of Demand
Price elasticity of demand is a measure of how...
Read definitionWhat Is a Recurring Revenue Model
A recurring revenue model is a business model where...
Read definitionWhat Is Monetization Strategy
Monetization strategy is the approach a company uses to...
Read definitionWhat Is Psychological Pricing
Psychological pricing is a pricing strategy that applies behavioral...
Read definitionWhat Is Dynamic Pricing
Dynamic pricing is a strategy where prices change based...
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