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Run the Numbers

E14: Everything You Need to Know About Pricing Products

Jan 3, 2024
Kyle Poyar, Operating Partner at OpenView, discusses pricing strategies, exploring price elasticity, software companies, service sponsors for CFOs, auto industry evolution, and NetSuite benefits. They also cover pricing models, revenue growth implications, customer retention strategies, and embracing constructive criticism in venture capital.
49:30

Episode guests

Podcast summary created with Snipd AI

Quick takeaways

  • Understanding price elasticity can help identify optimal pricing points for maximum profit.
  • Psychology behind pricing strategies varies between consumer and B2B products, impacting buyer perception and decision-making.

Deep dives

Understanding Price Elasticity in Pricing

Price elasticity is crucial in pricing strategies, demonstrating the relationship between product price and demand. While a commodity product may have high price elasticity due to easily replaceable options, a luxury product might have low elasticity, relying on status symbols. By analyzing the price-demand curve, businesses can identify ideal pricing points to maximize profit.

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