Resort Fees – and other Bait & Surcharge Schemes – Should be Banned

Tacking on hidden mandatory surcharges are becoming increasingly popular in pricing. I just realized that Sprint charges me an unadvertised (and inescapable) $5 administrative fee every month. Comcast is adding unadvertised “franchise fees” to my cable bill. And don’t get me started on restaurants that add a 3% “kitchen appreciation fee” as a line item to the check.

Please check out my latest article for the Harvard Business Review which posits that the only reason for these hidden mandatory surcharges is to deceive customers…and this practice should be banned.

Posted on February 26th, 2019 (0 Comments)

Netflix's Price Increase Should Concern Investors

Netflix recently instituted a 12% – 18% price increase for its streaming services. A few bucks isn’t going to cause a mass exodus, but it does create opportunities for current rivals (Hulu, Amazon) as well as those on the horizon. AT&T, Disney, Comcast, and Apple are all rumored to be entering the streaming market. That’s pretty formidable competition!

Please check out my first piece for Barron’s as it pitches (and supports) two contrarian ideas: (1) In direct contrast to most analysts, I think Netflix’s future uber-success is far from a slam-dunk and (2) I argue that Netflix’s decision on whether to raise prices has not been an elasticity issue – it’s been a valuation decision.

As always, thank you for reading!

Posted on January 30th, 2019 (0 Comments)

Good-Better-Best Feature Article in Sept/Oct Harvard Business Review Magazine

I’m delighted to share that I have a feature article in the September/October Harvard Business Review Magazine which just hit the newsstands.

Of all of the close to 50 pricing strategies that I advocate, Good-Better-Best is the most popular and powerful in my arsenal. I think you’ll love the article – it details the multiple reasons why Good-Better-Best should be employed and provides a framework on how to implement the strategy.

The article can be accessed for free by clicking here. But my suggestion is to pick up the Harvard Business Review Magazine at your local newsstand or order the PDF. The HBR did a fantastic job of laying out the article and using creative graphics.

Thank you for reading!

Posted on September 4th, 2018 (0 Comments)