Pricing Strategy from Coursera

Pricing is one of the most important but least understood marketing decisions. Learn and practice concepts, techniques, and get to grips with the latest thinking on assessing and formulating pricing strategies. Analyze how firms attempt to capture value, as well as profits, in the revenues they earn.

Along this course, you will learn pricing strategy key concepts such as pricing psychology, price discrimination, willingness to pay of customers, optimal price and price elasticity. This course has an additional focus on pricing dynamics and the reaction to and by competitors, taking a highly pragmatic approach and one that is directly applicable to your day-to-day professional life.

After this course, you will be able to contribute to the process of formulating pricing strategies for your own products and services, or those of your firm.

Martin Boehm - IE Professor and Dean of the Business School with over 10 years experience - will guide you through four modules. We begin with the importance of pricing and how it ultimately can affect the bottom line. Then, we move on to methods to help you decide what is the optimal price for your product; and then price discrimination - should all your products follow the same pricing strategy or should you differentiate depending on the customer segment? Finally, we look at pricing psychology and how you can influence customers in order to drive the highest possible price for your product.

What's inside

Syllabus

Demand Curve and Pricing

In this module we will start with the importance of pricing, especially for the bottom line. Having this in mind, and after showing how pricing is the most important driver of profitability, when you finish this module you will be able to execute cost, competition and customer-based pricing. You will also be able to use the concepts of price elasticity and optimal price while setting prices for your products and services.

Traffic lights

Read about what's good

what should give you pause

and possible dealbreakers

Provides analytical tools and methods for assessing and developing pricing strategies

Emphasizes understanding willingness to pay of customers to optimize pricing

Examines pricing dynamics and competitor reactions

Guided by an experienced professor, Martin Boehm, who provides expert insights

Requires some background in basic economics and marketing principles

Reviews summary

Practical insights into pricing strategy

Learners say this Pricing Strategy course offers valuable insights into key pricing concepts, presented by a highly knowledgeable and engaging instructor. Many highlight the practical focus and real-world applicability of the strategies discussed, finding them directly useful in their professional roles. Students appreciate the coverage of topics like willingness to pay, price discrimination, and pricing psychology. While providing a solid foundation, some suggest more advanced quantitative depth could enhance the material for experts. Overall, it's seen as a beneficial course for professionals seeking actionable pricing knowledge.

A valuable and worthwhile course.

"Highly recommend this course for anyone involved in marketing, strategy, or sales."

"Worth the time and effort invested for the knowledge gained."

"A valuable addition to my understanding of business and profitability drivers."

Explains essential pricing principles.

"The modules on price discrimination and psychology were particularly insightful."

"Covered willingness to pay methods and elasticity effectively."

"Liked how the course linked different pricing concepts together coherently."

Professor is knowledgeable and engaging.

"The instructor explained concepts clearly and kept me engaged throughout the course."

"Professor Martin Boehm is a fantastic lecturer, making complex topics accessible."

"Really enjoyed the professor's insights and practical examples during the lectures."

"The instructor's passion for pricing was evident and motivating."

Provides strategies applicable to work.

"I can apply these pricing strategies directly to my job immediately."

"The examples used were highly relevant and grounded in real business scenarios."

"Gave me actionable tools and frameworks for my professional role in pricing."

"This course helped me think about pricing challenges in my industry."

Good overview, could add depth.

"It's a great foundation for pricing, but I wished for more advanced quantitative analysis."

"Good for getting started, maybe less depth for seasoned pricing experts."

"Could use more advanced modeling techniques discussed."

"I felt it provided a strong basis, but some areas could go deeper."

Activities

Be better prepared before your course. Deepen your understanding during and after it. Supplement your coursework and achieve mastery of the topics covered in Pricing Strategy with these activities:

Review Key Pricing Concepts

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Refresh your knowledge of core pricing concepts to ensure a solid foundation before starting the course.

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Review course materials or online resources covering pricing basics.
Take a practice quiz or complete a knowledge assessment to test your understanding.

Read 'Pricing Strategy' by Kotler and Keller

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Gain foundational knowledge in pricing principles and strategies from a reputable industry publication.

View Marketing Management, Global Edition on Amazon

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Read the book thoroughly, taking notes on key concepts and examples.
Summarize the main takeaways and implications for your own pricing strategies.

Solve Pricing Calculations

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Sharpen your problem-solving skills by applying pricing formulas and calculations in practical scenarios.

Browse courses on Cost Analysis

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Complete a series of practice problems involving cost-plus pricing, value-based pricing, and competitive pricing.
Test your understanding by applying these formulas to real-world pricing situations.

Four other activities

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Analyze Pricing Strategies Case Studies

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Develop your analytical skills by examining real-world examples of pricing strategies and their impact on business outcomes.

Browse courses on Pricing Strategies

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Select 3-5 case studies of companies with different pricing strategies.
Read and analyze the case studies, paying attention to the pricing decisions made and their rationale.
Identify the key factors that influenced the pricing decisions.
Evaluate the effectiveness of the pricing strategies used.
Write a report summarizing your findings and recommendations.

Discuss Pricing Strategies in a Group

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Engage with fellow learners to share insights, challenge ideas, and enhance your understanding of pricing strategies.

Browse courses on Pricing Strategies

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Join or form a study group with other course participants.
Choose a pricing case study or concept to discuss.
Prepare by researching the topic and formulating your own opinions.
Participate actively in the group discussion, sharing your perspectives and listening to others.
Summarize the key learnings and insights gained from the discussion.

Developing a Pricing Strategy for a New Product

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Apply your knowledge to a practical project by developing a comprehensive pricing strategy for a new product.

Browse courses on Pricing Strategy

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Define the target market and conduct market research to understand their pricing expectations.
Analyze the competitive landscape and identify pricing benchmarks.
Determine the product's cost structure and profit margins.
Develop a pricing model and justify the pricing strategy.
Create a pricing plan that includes pricing tiers, discounts, and promotions.

Explore Dynamic Pricing Strategies

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Enhance your understanding of advanced pricing techniques by exploring dynamic pricing models and their applications.

Browse courses on Dynamic Pricing

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Follow online tutorials on dynamic pricing concepts and algorithms.
Experiment with dynamic pricing simulations to observe how price changes affect demand.
Research and analyze case studies of companies successfully implementing dynamic pricing.

Career center

Learners who complete Pricing Strategy will develop knowledge and skills that may be useful to these careers:

Pricing Strategist

Pricing Strategists develop and implement pricing strategies for companies. They may work with other departments, such as marketing and sales, to improve pricing performance. This role requires an MBA and a strong understanding of pricing and marketing. It is also helpful to have experience with forecasting and time series analysis. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the company that you work for.

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Pricing Consultant

Pricing Consultants help companies develop and implement pricing strategies. They may work with other departments, such as marketing and sales, to improve pricing performance. This role requires an MBA and a strong understanding of pricing and marketing. It is also helpful to have experience with forecasting and time series analysis. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the companies that you consult for.

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Pricing Manager

Pricing Managers are responsible for setting the prices of products and services. They may work with other departments, such as marketing and sales, to determine the best pricing strategy for the company. This role requires an MBA, an understanding of managerial accounting, and the ability to understand and use market research. It is also helpful to have strong negotiation skills. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for your company.

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Revenue Manager

Revenue Managers are responsible for maximizing revenue for a company. They may do this by setting prices, managing inventory, and forecasting demand. This role requires an MBA and a strong understanding of managerial accounting. It is also helpful to have experience with forecasting and time series analysis. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for your company.

See salaries and explore the career path for Revenue Manager

Pricing Analyst

Pricing Analysts typically determine the best pricing strategy for products and services. They may do this following a cost analysis of goods sold, market research, and analysis of competition. They may also use econometric models to forecast demand. This role requires an understanding of managerial accounting and some knowledge of basic econometrics. Because they are frequently called upon to project revenue and profits, some coursework in forecasting and time series analysis is also helpful. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop analytical skills that you can use to contribute to pricing decisions for your company.

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Product Manager

Product Managers are responsible for the development and marketing of products and services. They may work with other departments, such as engineering and marketing, to bring a product to market. This role requires an MBA and a strong understanding of marketing and product development. It is also helpful to have experience with pricing and forecasting. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the products that you manage.

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Financial Analyst

Financial Analysts evaluate the financial performance of companies and make recommendations on how to improve it. They may work with other departments, such as accounting and marketing, to develop financial plans and strategies. This role requires an MBA and a strong understanding of accounting and finance. It is also helpful to have experience with forecasting and time series analysis. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the companies that you analyze.

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Investment Banker

Investment Bankers help companies raise capital and make acquisitions. They may work with other departments, such as accounting and legal, to develop financial plans and strategies. This role requires an MBA and a strong understanding of accounting and finance. It is also helpful to have experience with forecasting and time series analysis. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the companies that you help to raise capital.

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Management Consultant

Management Consultants help companies improve their performance. They may work with other departments, such as accounting and marketing, to develop business plans and strategies. This role requires an MBA and a strong understanding of business and management. It is also helpful to have experience with forecasting and time series analysis. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the companies that you consult for.

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Sales Manager

Sales Managers are responsible for leading and motivating a sales team. They may work with other departments, such as marketing and product development, to bring a product to market. This role requires an MBA and a strong understanding of sales and marketing. It is also helpful to have experience with pricing and forecasting. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the products that you sell.

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Marketing Manager

Marketing Managers are responsible for developing and executing marketing campaigns. They may work with other departments, such as sales and product development, to bring a product to market. This role requires an MBA and a strong understanding of marketing and advertising. It is also helpful to have experience with pricing and forecasting. This course in Pricing Strategy can help you build a foundation in the theoretical concepts behind pricing. It will also help you develop the analytical skills that you need to make pricing decisions for the products that you market.

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Data Scientist

Data Scientists use data to solve business problems. They may work with other departments, such as marketing and sales, to develop data-driven solutions. This role requires an advanced degree in a field such as statistics or computer science. It is also helpful to have experience with programming and data analysis. This course in Pricing Strategy may be useful for you if you want to specialize in pricing analytics. It will help you develop the analytical skills that you need to make pricing decisions based on data.

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Market Researcher

Market Researchers study the market to understand consumer behavior. They may work with other departments, such as marketing and sales, to develop marketing campaigns and strategies. This role requires an advanced degree in a field such as marketing or sociology. It is also helpful to have experience with data analysis and statistics. This course in Pricing Strategy may be useful for you if you want to specialize in pricing research. It will help you develop the analytical skills that you need to make pricing decisions based on market research.

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Operations Research Analyst

Operations Research Analysts use mathematical models to solve business problems. They may work with other departments, such as manufacturing and logistics, to improve efficiency and productivity. This role requires an advanced degree in a field such as operations research or industrial engineering. It is also helpful to have experience with programming and data analysis. This course in Pricing Strategy may be useful for you if you want to specialize in pricing optimization. It will help you develop the analytical skills that you need to make pricing decisions based on mathematical models.

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Econometrician

Econometricians use statistical methods to analyze economic data. They may work with other economists to develop economic models and forecasts. This role requires an advanced degree in economics. It is also helpful to have experience with programming and data analysis. This course in Pricing Strategy may be useful for you if you want to specialize in pricing economics. It will help you develop the analytical skills that you need to make pricing decisions based on economic models.

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