Best Practice Report

Pricing Your Offering: Setting The Price Metric

January 1st, 2018

Summary

In some cases, sellers may follow the metering process described in this report only to end up with value metrics that are traditional and well used. This does not signal failure. The most important thing is to select the best, not the most innovative, metric. Additionally, the metering process allows product managers to better understand what outcomes (e.g., transactions) signify an increase in value. Even if outcomes cannot be used as value metrics for pricing, they can be used as metrics to track product engagement and ensure retention. In this report, we provide a three-step process for defining the best price metric for an offering.

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