Is Price Profiling the Future of Web Retail?
This is one of the most interesting articles that I’ve written…
How many of you have ever felt a little suspicious that web prices are changing on you. Well, that’s exactly what happened to me recently when I was looking at air/hotel packages to New York City on the Orbitz app on my iPhone. The web price was $117 higher!
Please check out my latest article for the Harvard Business Review where I discuss price profiling, whether “electronic haggling” will be routine on the web, and the ethics of personalized pricing.
Posted on October 20th, 2017 (0 Comments)
The Psychology Behind the iPhone X’s $999 Price
As the media and most everyone who is interested in buying Apple’s new iPhone X noticed, its price (ranging from $999 - $1149) is a bit startling. Crossing the $1000 threshold is a big step – especially since the also newly released iPhone 8 is priced at $699 (note: Apple skipped releasing a "9" model).
So why the big jump? I argue that the steep price is more than just capturing value – Apple is using price to convey an expectation of awesomeness. For more details, please check out my latest piece for the Harvard Business Review. In addition, I also call out Apple for not having the confidence to set the price at $1,000 and compare Apple’s strategy to what the rock band the Eagles employed in setting ticket prices for their reunion tour.
As always, thank you for reading my articles!
Posted on September 21st, 2017 (0 Comments)
Social Media is Pushing Down Prices of Essential Products During Natural Disasters
With two major hurricanes recently hitting the U.S., there’s been a renewed debate over how prices should be set during a crisis. Many economists push to let the market work by increasing prices of high demand goods. In contrast, many policy makers prefer more egalitarian approach of keeping prices low and distributing products on a first-come, first-serve basis.
But recently a new trend is emerging: companies are actually lowering prices and going the extra mile during tough times. Please check out my latest piece for the Harvard Business Review where I argue that social media is holding companies more accountable for their pricing actions.
Posted on September 12th, 2017 (0 Comments)
