To find the right price for your product, one that maximizes value for your customers and profit for you, you need to start with understanding your customers’ behaviour. There are advantages to using AI-powered pricing software. It can help you determine how much your customers are willing to pay. This data can come from customer reviews, churn rates, demographics, surveys, etc.
Once Willingness to Pay for each of your customer segments is calculated, pricing objectives and constraints are established. This helps create parameters that align to greater organizational goals. Using this data, optimal target prices are set and implemented. Pricing is an ongoing process, which means continuously monitoring your prices, reviewing results and making modifications.