Pricing Process
(Redirected from pricing methodology)
Jump to navigation
Jump to search
A Pricing Process is a business process that defines pricing workflows, decision checkpoints, and approval mechanisms to establish product prices and service rates.
- AKA: Pricing Workflow, Price Setting Process, Pricing Methodology.
- Context:
- It can typically define Pricing Steps from cost analysis to price publication.
- It can typically establish Approval Hierarchys for pricing decisions.
- It can typically incorporate Market Analysis into pricing determination.
- It can typically utilize Pricing Systems for calculation execution.
- It can typically produce Pricing Deliverables for stakeholder communication.
- ...
- It can often include Competitive Benchmarking for market positioning.
- It can often enable Price Testing through pilot programs.
- It can often support Revenue Optimization through iterative refinement.
- It can often provide Audit Capabilitys for compliance tracking.
- ...
- It can range from being a Simple Pricing Process to being a Complex Pricing Process, depending on its workflow sophistication.
- It can range from being a Centralized Pricing Process to being a Decentralized Pricing Process, depending on its decision authority.
- It can range from being a Static Pricing Process to being a Dynamic Pricing Process, depending on its update frequency.
- It can range from being a Cost-Based Pricing Process to being a Value-Based Pricing Process, depending on its pricing philosophy.
- ...
- It can be supported by Pricing Tools and pricing systems.
- It can be documented in Process Management Systems.
- It can be monitored through Business Intelligence Platforms.
- It can be optimized using Process Mining Tools.
- ...
- Examples:
- Strategic Pricing Processes, such as:
- Operational Pricing Processes, such as:
- Industry-Specific Pricing Processes, such as:
- ...
- Counter-Examples:
- Pricing System, which executes pricing calculations rather than defines workflows.
- Pricing Model, which specifies calculation methods rather than process steps.
- Sales Process, which focuses on customer acquisition rather than price determination.
- See: Business Process, Pricing Management, Pricing System, Pricing Deliverable, Revenue Management Process, Workflow Management.