 Introduce Innovative Pricing SystemsHermann Simon and
Adam Echter
Chapter 11 in Beating Inflation, 2023, pp 91-98 from Springer Abstract: Abstract The current inflation should introduce innovative pricing systems enabled by technology that was absent during the 1970s. Dynamic pricing is expanding beyond travel & tourism to facilitate rapid, demand-driven price adjustments that help sellers outpace inflation. Performance-based pricing links prices to value delivered which scales with inflation. Outfitting products with the technology to document value delivered should prove a powerful tool for creating real growth under inflationary conditions. Today’s technology allows the creative unbundling of products with impressive examples such as the chassis of an automobile from its motive power. Inflation will stimulate accelerated creativity in both unbundling and bundling of goods and services. Freemium price models are problematic in inflation as the spread between zero and the premium price increases; those who deploy this strategy must keep a close watch on the gap between their free and paid tiers. The authors expect the current inflation to usher in exponential growth of innovative pricing systems across all industries. Date: 2023 There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-031-20093-9_11 Ordering information: This item can be ordered from DOI: 10.1007/978-3-031-20093-9_11 Access Statistics for this chapter More chapters in Springer Books from Springer |
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