Many companies underutilize pricing as a tool without realizing that they are missing out on the capacity to create a major competitive differentiator for their business. Periods of rapid economic change present an opportunity for organizations to try new, creative approaches to core elements of their business, such as the pricing models they offer and the payment methods they accept. Beyond reacting to market conditions, the ability to deploy a broad range of different pricing and payment mechanisms – and to do so with speed and agility – equips sellers with a distinct, strategic advantage: the power to adapt.
This research note defines and explores the primary pricing and payment methods and attributes in use today, including subscriptions, usage, outcome, and others, as well as illustrations of key use cases. This report can be used as a basic tool to understand, assess, and improve a business’s basic pricing capabilities with the aim of helping organizations foster a common understanding of pricing as a business discipline.