Archive for the ‘Pricing’ Category

What do colleges have in common with Kohl’s?

November 10, 2015

I oft say that anybody who pays sticker price at Kohl’s should look over their shoulder to make sure that Darwin isn’t chasing them.

Maybe the same should be said of parents who pay list price tuition to fund their kiddies through college.

Lots of talk re: how college costs are soaring.

According to the WSJ

Published tuition rates have soared in the last decade, but only a small percentage of families actually pays full freight.

Between grants to needy students and merit scholarships to entice other desirable candidates, schools these days are giving back nearly 50% of gross tuition revenue in the form of aid and awards.

In other words, list prices are going up, but more stuff is being sold at sale prices.

 

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Increasingly, colleges are using pricing methods previously the domain of airlines and discount retailers …

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Alert: Mickey is reaching for your wallet …

October 12, 2015

I’m conflicted on this one.

On one hand, I teach pricing strategy in some of my courses.

The explicit strategic goal: increase revenue and profits with aggressive pricing tactics.

On the other hand, I always feel sorry for “average” parents who get creamed financially when they take their kids to a ball game or amusement park.

 

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Based on recent announcements, Disney – Mickey’s parent company – is rolling some pricing tactics to fatten Mickey’s wallet and flatten your’s …

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Tipping the scales: Airline starts weighing all passengers …

August 17, 2015

You read that right …

Uzbekistan Airways is going to start weighing passengers before flight

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Here’s what’s going on …

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FTC makes it official: Size matters !

June 30, 2015

Have you ever shelled good money for “free” air.

Bet you have.

It’s called “slack fill”.

Say, what?

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Let’s start with a confession …

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Smacked: TurboTax bungles a $25 price increase and retreats.

February 19, 2015

A couple of years ago I switched off TurboTax when they tried to start charging separately for each computer – meaning that I had to buy 2 licenses to have TurboTax on both my desktop and laptop.

I got back on the program when they backed off that silly pricing hack.

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Having learned nothing from that pricing backfire, TurboTax recently got itself in another brouhaha with customers when it tried another pricing sleight of hand.

Here’s what went down …

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What do colleges have in common with Kohl’s?

February 2, 2015

I oft say that anybody who pays sticker price at Kohl’s should look over their shoulder to make sure that Darwin isn’t chasing them.

Maybe the same should be said of parents who pay list price tuition to fund their kiddies through college.

Lots of talk re: how college costs are soaring.

According to the WSJ

Published tuition rates have soared in the last decade, but only a small percentage of families actually pays full freight.

Between grants to needy students and merit scholarships to entice other desirable candidates, schools these days are giving back nearly 50% of gross tuition revenue in the form of aid and awards.

In other words, list prices are going up, but more stuff is being sold at sale prices.

 

image

 

Increasingly, colleges are using pricing methods previously the domain of airlines and discount retailers …

(more…)

What do colleges have in common with Kohl’s?

October 14, 2014

I oft say that anybody who pays sticker price at Kohl’s should look over their shoulder to make sure that Darwin isn’t chasing them.

Maybe the same should be said of parents who pay list price tuition to fund their kiddies through college.

Lots of talk re: how college costs are soaring.

According to the WSJ

Published tuition rates have soared in the last decade, but only a small percentage of families actually pays full freight.

Between grants to needy students and merit scholarships to entice other desirable candidates, schools these days are giving back nearly 50% of gross tuition revenue in the form of aid and awards.

In other words, list prices are going up, but more stuff is being sold at sale prices.

 

image

 

Increasingly, colleges are using pricing methods previously the domain of airlines and discount retailers …

(more…)

Cheap Tricks … err, make that cheaper tricks.

August 19, 2014

Warning: Adult Content.

The Economist – a reputable publication — recently reported the results of a groundbreaking economic analysis.

Specifically, staffers “analysed 190,000 profiles of sex workers on an international review site … with data going back to 1999 … with prices corrected for inflation.”

What did they find?

“The most striking trend our analysis reveals is a drop in the average hourly rate of a prostitute in recent years”

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What explains the 30% drop in prices?

Well, pardon the pun, it’s pure economics …

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List price, realized price … and the war on doctors.

April 7, 2014

Have you ever really looked at the EOB (“Explanation of Benefits”) that you’ve gotten from your health insurance company after getting medical care?

I hadn’t … just threw the letters into the file … or wastebasket.

But, the ObamaCare launch has heightened my interest … and recently, unfortunately, I’ve been able to gather some personal empirical data points.

 

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Here’s the first part of my story …

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List price, realized price … and the plight of doctors.

November 4, 2013

Have you ever really looked at the EOB (“Explanation of Benefits”) that you’ve gotten from your health insurance company after getting medical care?

I hadn’t … just threw the letters into the file … or wastebasket.

But, the ObamaCare launch has heightened my interest … and recently, unfortunately, I’ve been able to gather some personal empirical data points.

 

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Here’s the first part of my story …

(more…)

What do colleges have in common with Kohl’s?

October 14, 2013

I oft say that anybody who pays sticker price at Kohl’s should look over their shoulder to make sure that Darwin isn’t chasing them.

Maybe the same should be said of parents who pay list price tuition to fund their kiddies through college.

Lots of talk re: how college costs are soaring.

According to the WSJ

Published tuition rates have soared in the last decade, but only a small percentage of families actually pays full freight.

Between grants to needy students and merit scholarships to entice other desirable candidates, schools these days are giving back nearly 50% of gross tuition revenue in the form of aid and awards.

In other words, list prices are going up, but more stuff is being sold at sale prices.

 

image

 

Increasingly, colleges are using pricing methods previously the domain of airlines and discount retailers …

(more…)