Pricing Your Offering: Setting The Price Metric

The price metric is the unit of measure used to determine how customers are charged for a product or service. The resulting choice is critical as it will impact how the organization drives revenue and customer satisfaction with offering’s value — and is the linchpin of pricing strategy success. A well-thought-out metering approach ensures pricing is aligned to buyer value, thus motivating buyers to continue purchasing. Instead of adopting default or traditional price metrics, organizations should consider a wide range of options and assess them with a set of criteria. In this report, we provide this criteria along with a three-step process for defining the best price metric for an offering.