Pricing is the most important tool in our tool kit for driving profitability. Yet it is done so poorly in the vast majority of companies out there. When in doubt or as an afterthought, many companies simply look at their costs and apply a margin to it. But, just hoping your price will work is not good business!
And despite all this, there continues to be a lot of excitement about implementing pricing systems and tools. Now with the coming of artificial intelligence (AI), the domain of Pricing is portrayed as being poised to help companies compete more effectively and deliver even more profit than ever before.
Unfortunately, many of the past pricing improvement projects have failed or become a one-time project benefit. My expectation is this will continue to be the trend unless businesspeople make an effort to understand pricing and change the way they approach it.
The reality is the vast majority of companies have simply failed to do the basics when it comes to pricing. Those in charge do not fully comprehend the basics of pricing theory, their customers and products, how to get organized, or even where to start. Further, the businesses they are running are not data-ready for what it takes to do pricing right.
Thus, the audience for this book is meant for those who are new to pricing. You could be a new leader who now owns the job of improving pricing. Perhaps you have transferred from a different domain like finance. Or maybe you are an entrepreneur whose business is now moving into a more formal business structure and this is an area that you haven’t really considered deeply. And/or you might be an executive looking to start your business on the pricing journey. If so, this book is for you.
Patrick Taylor, M.D., is the author of the Irish Country books, including An Irish Country Doctor, An Irish Country Village, An Irish Country Christmas, An Irish Country Girl, and An Irish Country Courtship. Taylor was born and raised in Bangor, County Down, in Northern Ireland. After qualifying as a specialist in 1969, he worked in Canada for thirty-one years. He now lives on Saltspring Island, British Columbia.